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jobs gave a keynote on this around lunchtime which rubikcube and i watched. he went into a lot of detail on this and one of the things he mentioned was that it was all encoded at 128 AAC mp4 format, so really it's about equal to cd quality. also each rip was made from the original master tapes, not the cd. so that way you aren't getting a copy of a copy, just a copy.
i agree GB. it seems to be the natural flow for music, i jsut hope the RIAA does wise up to this. i would think they would since, obviously, apple had to get the cooperation from the recording studios to even do this.
only time will tell i guess
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