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This is a big deal, as Reuters reports:

Jon Lech Johansen, a 22-year-old Norway native who lives in San Francisco, cracked Apple’s FairPlay copy-protection technology, said Monique Farantzos, managing director at DoubleTwist, the company that plans to license the code to businesses.

“What he did was basically reverse-engineer FairPlay,” she said. “This allows other companies to offer content for the iPod.”

At the moment, Apple aims to keep music bought from its iTunes online music store only available for Apple products, while songs bought from other online stores typically do not work on iPods.

[Apple's DRM is hacked via Reuters]

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