OSX Lion is the first operating system to be offered as a full digital download. Initially Apple stated that the only way to get Lion was to download it from the Mac App store, but later decided to offer it on a bootable USB stick that you could purchase.
Although the digital download is a major step forward on how we will be getting our OSs in the future, most people (including myself) wanted an actual physical copy. Lion does create a bootable repair partition in case you need to do a re-install, but this does not solve the problem of a complete hard drive failure. Creating a bootable OSX Lion install disk also will allow you to perform a clean install in case you just want to clean out the cobwebs that may be lurking in the far reaches of your Mac. Just an important reminder that the Lion installer is tied to your Apple ID so you may want to think twice if you plan on sharing your disk with others via torrents, file sharing services, or simply friends.
Re-Downloading OSX Lion
If your like me you couldn't wait to instal Lion. After the download was complete most of us quickly clicked on the app to perform the install. Unfortunately after the OS is upgraded Lion deletes the original install app. Now when you try to re-download it from the Mac App store it is greyed out and it would seem you are not allowed to have access to it again. Fear not, because there is a way. Simply open the Mac App store, and while holding down the "option" key on your keyboard click on the purchases tab on the upper part of the screen. Now when you click on the OSX Lion app you will be able to re-download it with no problems (Don't worry you will not be charged for it again.)
Create the Bootable OSX Lion Disk
I have included some easy to follow instructions with pictures for creating your bootable Lion installer disk:
1. The first thing that you want to do is to copy the "Install Mac OSX Lion" app from your application folder to your desktop.
2. Next you want to command click or right click the "Install Mac OSX Lion" app and choose "show Contents".
3. Inside this package you want to locate the "Shared Support" folder.
4. Copy the “InstallESD.dmg” file to your Desktop.
5. Next open Disk Utility.
6. Click on the Burn Tap in the upper part of Disk Utility and select the “InstallESD.dmg” file that you previously copied to your desktop.
7. Insert a blank DVD and Disk Utility will burn Lion to a bootable DVD.
8. When Disk Utility is done you should have a bootable OSX Lion DVD ready to go. This is what the contents of your DVD should look like.
So there is! See, there is not much to it when it comes to creating a bootable OSX Lion disk. Hopefully these easy to follow steps will help you save a few dollars.