I think the main challenge will be getting the labels to agree to lala-esque music deals with Apple. Most reports so far say that lala's licensing deals are no

I think the main challenge will be getting the labels to agree to lala-esque music deals with Apple. Most reports so far say that lala's licensing deals are not transferrable. That said, Apple really has to do something in this space. I can't imagine that in 3 years Apple's music strategy will be exclusively about buying MP3s via iTunes, and not have any online component at all.