I'm worried about developer-side automatic update. I can think of more than a few times where I wouldn't want such an update, or bad things that a developer could do to a user. As a developer, I'd like it, but I'm not so sure as a user.
From the screenshot (of dubious authenticity) I saw on a different website, it seemed like the automatic updates was a setting that the user controls per app. There are still some problems with automatic updates (as there also are with non-automatic updates), but at least the control is relatively fine-grained.
True, but currently I have fifteen apps that say they have updates, and I am by no means a heavy app user. To update them (which requires FOUR clicks per app) is a waste of my time, to be quite honest. Yes, I am incurring a slight risk (depending on whether the apps I d/l are trusted), but I for one would be more than happy to automate this part of my life.
For the cautious users, perhaps there could be a "wait x days after release before update" option.
There was a streaming music app not too long ago that accidentally wiped people's SD cards entirely if the update was installed. Definitely glad I waited a few days and checked the comments before updating.
It would be nice if they added a few options, I would like to see a "don't notify me about updates" checkbox. If an app is working fine and not a security risk (much more likely on android), then I don't want it to bug me.
You already can, although it's not per application, it's all-or-nothing. The setting is located at Market->Downloads->Menu->Notifications (at least on T-Mobile's brand of Android 1.6 -- I think it was in a slightly different place on 1.5, but it was there somewhere.)