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Just thought I'd jump in with $.02 on the duplicate content issue. Search Engines are sure to recognize duplicate content across multiple sites and will penalize for it. So to deal with that you'll need to either a) not care about search engines or b) make your own mods to the aggregated content as it comes in.
Obviously option 2 foils the hands-off approach, which isn't very attractive. But it is still a lot easier than coming up with all that new content out of whole cloth.
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