I agree, it looks like the website is whacked. Someone who didn't know what they were talking about apparently wrote that. It's only fair to say that CD lookup (CD search, as some put it) results come entirely from Gracenote. Gracenote is also used in part to determine cover art, though I understand Apple only uses it as a fallback when they can't figure it out on their own.

As for the rest here, think whatever you like. It would be really really stupid for Sony to ruin Gracenote after spending a quarter billion dollars on it. If they only want it to service Sony, they could have spent a whole lot less building their own or funding Gracenote to provide them with special services (which they did to some degree already). Time will tell, of course, but I certainly don't take any predictions from Gracenote detractors like you and the others here (except Ian). You guys aren't exactly a font of impartiality...