I think an interesting extension to this type of project would be to take off where Shazam and Tunatic for the PC. However these songs use a microphone to listen to a song, send a snippit to the servers and return a tag for the sample.
It would be cool if a program could be developed to play a snippit of the MP3 through some virtual sound device, send the snippit to the service, auto return the tag, and update the MP3 file. This way the mistakes you get with miss identification that happens purely by the file name of artist and track would be minimized quite a bit.
Answered my own question/idea while doing some poking around after posting... Musicbrainz.org does this with a few multi-platform clients and the musicbrainz backend is MusicIP. However, what I am using now to clean up my few thousand albums is WinAMP 5.5 with its auto-tagging feature powered by the gracenote music database backend. Gracenote is also the backend it appears for Shazam and is being used by MySpace and a few other sites to identify and stop copyrighted material from being uploaded. So far WinAMP has audio fingerprinted all my missing tagged MP3s perfectly.
Using MediaMonkey on top of the cleaned MP3s to embedded the missing album art. Even though most of my albums were purchased from iTunes, Apple doesn't embedded the album art.
Just my two cents... I would love to see this type of project!