There is some kind of DRM going on, but not much. From the Apple site :

...you can play your music on up to three computers, enjoy unlimited synching with your iPods, burn unlimited CDs of individual songs, and burn unchanged playlists up to 10 times each.
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Riocar 80gig S/N : 010101580 red
Riocar 80gig (010102106) - backup