Two different things. CD-TEXT (the information that can be encoded on CDs) works only on CD players that support that feature, most commonly found in car systems. iTunes and other software players pull album titles and track names from online databases, like Gracenote and AMG.

It would make sense that software players like iTunes and Windows Media Player would fully support CD-TEXT but they don't (possibly because that would make online databases useless except for album cover art). There are a few software players that support CD-TEXT and will pull the data from the disc itself, and there's even a free plugin online that someone created as an add-on to Windows Media Player that will enable it to read CD-TEXT.

If you'd like to get your CD-TEXT encoded album into iTunes (assuming you have not yet submitted your album's name and track titles to the Gracenote database), the simplest way to do it is by finding the CD-TEXT plugin for Windows Media Player, and use that to rip an MP3 version of your CD, then add the MP3 version of the CD to the iTunes library.