Perhaps, but the branding of iTunes is not something that Apple really want's to change and eliminate. In the end, the title's accuracy matters not if it's really popular. I mean the name "Donkey Kong" really isn't accurate either - it never had a thing to do with donkey's nor does it have anything to do with King Kong (despite Universal's option at the time). That being said, it's a powerful brand name that is widely successful. You just don;t mess with that kind of success.
The weird thing is, you used to use iSync for iPod, iSync for cellphones. I really think they need to re-split iTunes into iTunes and iSync.
Not a chance in hell. itunes is an established and extremely successful. Apple would gain absolutely nothing by changing the name but would lose lots of brand recognition. iTunes is king of the music industry so there is no way that Apple is going to try some silly stunt like changing the name.
One thing the name iTunes shows is that Apple didnt yet have the vision/road map in place of what all it would do when they named it.
Does "iTunes" really fit the application? No. I don't think Apple expected iTunes to turn into these different things when they first developed it. They aren't going to change the name because everyone knows the name "iTunes."