Apple and EMI record label have come to an agreement to allow tracks to be downloaded legally from Apple's iTunes service without the copy protection that prevents them being transferred onto other companies players.
Non-DRM tracks will cost 99p as opposed to the 79p for a regular track. Previous EMI tracks can be upgraded to the non-DRM version for 20p. Non-DRM tracks will be 'double the quality' of DRM tracks (I assume this means the bitrate).
Currently iTunes files are encoded as 128kbps. 256kbps therefore would be more acceptable. The big problem here is the cost. An album contains ~12 tracks (probably more, but we'll say 12). A 12 track album without DRM off iTunes therefore is £11.88. Tesco sell the same album for £9.99 also without DRM, at a much higher bitrate (1411kbps) on a CD with a booklet,case etc. Play.com, CDWOW might offer the product for as little as £7-£8. Therefore what incentive is there for the iTunes version? Great if you only want one or two tracks from an album but any more and the CD is still the way to go for legal music. I can't see this doing anything to turn the tide of illegal downloading.