Yahoo music is selling a music file as a plain vanilla MP3 file with no DRM.  Could this position them to compete against iTunes effectively?  Only if music available as a protected AAC file on iTunes is also purchasable as a plain MP3 file on Yahoo! Music.  From slashdot.  The rationale is on the Yahoo! music blog.

Our position is simple: DRM doesn't add any value for the artist, label (who are selling DRM-free music every day --- the Compact Disc), or consumer, the only people it adds value to are the technology companies who are interested in locking consumers to a particular technology platform.\