Behind the smiles, a particularly troubling set of circumstances is plaguing the record industry, which is in dire straits on almost every front. The major record labels depend on three things to survive: the money of fans, the music of their artists and the support of the multinational corporations that own them. But the labels are suddenly realizing that they can't depend on any of these. ... "If the industry doesn't change the way we do business," said Val Azzoli, co-chairman of Atlantic Records, "we're going to be bankrupt." While it has been widely reported that music sales were down 5 percent last year, this is the least of the music business's woes. ....

Neil Strauss of the New York Times issues a report on the (sad) state of the music industry, including the tough economic tradeoffs faced by conglomerates like Sony.

Maybe we just don't need these people anymore! The recording industry as a whole can go up in flames for all I care. Its time we simply start building the REAL communication infrastructure necessary for artists to self-promote. More blank CDs are sold now then pre-recorded, the hardware is in place. This can't result in anything other then more choice for the consumer. I don't know _anyone_ who is truly happy with the crap that gets handed down the the corporate pulpits of American culture, otherwize knows as record labels. No sympathy for the devil, fuck em. Change can be painful, so don't well up with pitty when you hear the screams.

Make your money on performance folks.. And I'm not talking about ASCAP, BMI, and SESAC.

Behind the Grammys, Revolt in the Industry