Now, you know, that "HitKit" and FourTrak, while not being "professional" grade, are actually pretty intriguing:
The HitKit has value in that it provides an absurdly cheap way for total noobs to see what all the excitement is about- I am thinking giving it to a child who wants to explore recording, for instance. Given the legion of kids who thought they wanted to "play the guitar" or such, less than $2.00 USD is an irresistable price.
And the FourTrak is nothing less than an i-Pod based PortaStudio, and I think everyone here would have to admit that there is some real utility to that sort of platform.