As first reported on MacRumors.com, Apple announced that they are now allowing developers to issue free promotional copies of their applications.
“Apple has finally started allowing developers to issue free promotional copies of their iPhone applications. Once an application has been accepted to the App Store by Apple, developers can issue up to 50 promotional codes for their application. The codes allow the recipient to download a full copy of the application for free. Codes can only be presently used in the U.S. iTunes Stores by using the “Redeem” link in the App Store.”
The codes currently are only available in the U.S. App Store. As far as the limit on the number of codes is concerned, it is said that the developers can issue as many as 50 promotional codes that will allow the recipient of a promotional app to download a full copy for free.