At present the AirPlay option only offers the option to play content on the hoot computer with some reports suggesting a further update to the Apple TV is needed before the feature is fully available.
The iTunes update comes ahead of an eagerly anticipated update to the iPhone and iPad operating system which will see features such as app folders and multi-tasking available on the iPad for the first time.
Apple has also announced a deal with Twitter which will see PING users be able to share music recommendations with friends on the micro-blogging service.