Here’s a shocker: online downloading is hurting online sales of CD’s.
So, online CD’s sales are off 25%. Let’s face it, the current distribution system suits the needs of the record companies, because it makes it gives them something concrete they can count and make sure they get paid. But it doesn’t suit the needs of tens of millions of computer users who want their music in a format they can control and really use.
What’s shocking is that consumers are so desperate for music files that they are willing to put up with the hopeless agony of using Kazaa or LimeWire. Imagine how much they would pay if they could get authorized, quality copies when and where they needed them. The demand is there and the money is there, as soon as the RIAA is willing to give up control.