I think you're all probably missing the point. I'm sure that Apple (computers) hires some pretty good legal talent. Furthermore, I would imagine that said talent would not overlook the blatent violation of the contract they signed with Apple (records... nevermind that I agree this is pretty clearly a trademark issue as well). My bet is that Apple ran the numbers and concluded that they could recoup legal fees and settlement costs in the business of selling iTMS tracks, and iPods. They probably even figured that it would be cheaper to get sued and settle than to negotiate getting out of their prior agreement. My prediction... Watch for a fast settlement.