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An article in the Chicago Tribune (registration required, but free) talks about the way in which digital media has been influencing both record sales as well as royalty payouts. Basically, people have more freedom now, and the labels aren't all that happy about it.
Posted by Casper at February 3, 2004 10:13 AM"This explosion of options is giving consumers more choices, and more control over those choices than ever. 'The labels were selling five-pound bags of flour to people who only wanted to bake one cake,' Flanders says.
"'Consumers have never been more informed, have never had more opportunity, have never had this many tools at their disposal ... I'm 43, and I've seen video games, computers and cell phones all evolve in my lifetime. I think back to when I was 16, and the options available to someone of that age now. You're in your room with a laptop and an iPod, and the world is your oyster. In music, it's a new world order: The audience is controlling the marketplace instead of the other way around."