Facebook announced a new music section with direct integration into iTunes. This is part of the toolkit that we announced last week that allows bands to post music to their Facebook pages, chat with fans, and even upload samples for people to hear. If listeners like the sample, they’ll now be able to purchase the full tracks (or album) from iTunes — without ever leaving Facebook.

The Efficient Frontier has been stacking up the statistics for web services and gives a detailed report on Google’s click-thru ratio that had dropped in the last quarter. By their estimates, Google’s decrease was more about Google making their pay-per-click ads more relevant so they were able to charge more per click through than before. I’m sure the increasing number of advertisers isn’t hurting either.

Social networking fans beware; it looks like the next big thing for hackers is attacking web 2.0 hangouts like MySpace and Facebook. The target of the attacks are varied and spreading fast — we’ll keep you posted on this. Expect to see Facebook, for example, tightening up their rules regarding Facebook apps.

Earlier this month the free photo hosting site, Photobucket, gave users the ability to edit their photos online using the Fotoflexer tool. Fotoflexer is a free image editor that runs right in your browser, giving you the power of Photoshop online — and it’s free.