I just heard this news in the business news of the NY Times... I have been on the ride with Lala for a bunch of years, starting from the point when their main business model was acting as a sort of broker for people who wanted to trade their unwanted CDs (I think I had about 300 trades).  As you probably know, when that business model fell apart, Lala switched to basically an on-demand streaming model.  While I appreciate the free streaming capabilities of companies like Pandora, the one downside is that generally you can't hear a certain song specifically when you want to hear it, so I made the choice to pay $.10 per song to have a "web copy" of that song made available to me when and where I wanted it.  The risk for me in this model was that Lala would not be successful and therefore my "investment" might disappear. The upside was that I got to have lots of cool music available to me on-demand when I wanted it.  Plus, I was able to use their music
 loader to "upload" all of the songs in my iTunes library (well, at least the ones that Lala has licenses for) so that I could access them if I wanted to no matter where in the world I travel (I do a lot of that).  

Now that Apple has purchased Lala, I believe the risk of bankruptcy is minimized.

Mike