On the flipside, lossy compression *IS* something that quite a few people can hear. Also, so is the difference between 44.1kHz and 48kHz audio. These are far more relevant.
This is so bewildering, there are only two explanations I can come up with:
A) This really is a scam, and apple are banking that putting a higher number in the specs will make people pay more.
I agree with what you're saying. Personally I'd be happy enough just seeing uncompressed 16/44.1 in the iTunes store, but if the marketeers want to do 24/44.1 then so be it.
B) There is something else that they are thinking of doing with this, like building in mastering dynamics processing right into the software (a bad idea in most cases). This would be kind of neat, except for the fact that there's NO WAY that you could control it enough to sound as good as a professionally mastered recording. Maybe if it were sort of like camera raw, which has metadata outlining exactly what the master's processing is, and then just gives the user a few ways of tweaking it for their environment. Still iffy, but might be interesting.
That would be fantastic! Imagine having different compression profiles for different playback devices... fairly compressed for the car and mobile use, more dynamic for home listening!
Problem is that the mastering compression is often frequency or sub-track dependant (I'm thinking of bass-ducking on R&B music). That would be very difficult to implement!