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Napster PR here. The system as defined by them:
* Students living in residence halls at a dozen Penn State campuses will be able to participate initially.
* Unlimited streaming of music files will be available from Napster's inventory of more than 500,000 songs.
* Tethered downloading is included at no additional charge. This means a student can download and keep the music files on up to three personal computers. These songs can be burned to CDs or transferred to portable devices if purchased for 99 cents each.
Looks interesting. Apparently, they are also looking at deals with other schools. I'm swamped today and so can't really get into this or the patent issues with schools streaming content. But I'll try later.