When the 2010 baseball season began, I knew I wanted to buy MLB At Bat for a friend. Unfortunately there was no way to do that directly, so I had to settle for a Gift Certificate. Then I discovered that Gift Certificates are only available in $10 increments, starting at $10 and ending at $50.
As of today, that will no longer be a problem. Apple has introduced "Gift This App" for iPhone/iPod touch apps. Simply click on the dropdown menu next to "Buy App" to find the "Gift This App" link. Unfortunately it does not seem to be enabled (yet?) for all apps. When I checked the CBS Sports NCAA app the Gift This App option did not appear.
Then there is the question of what happens if you try to buy an app for someone who already has it? What if you try to send an app to someone who uses a different email address for their iTunes account? What if you buy an app for someone who -- I shudder to even suggest this -- doesn't have an iPhone or iPod touch?
While I am sure that these and other issues will have to be worked out, this is a good addition to the App Store if for no other reason than it will allow people to give the gift of apps without having to go through the extra process of buying a gift card, especially if all you want to spend is $0.99!