It Was Never About The Money, Stupid

The industry still thinks music can be split into units of content. If they had their way they'd probably charge for "Youtube view" as well.

Rick Falkvinge is right that people don't put any value on "copies" anymore because they know a digital copy costs almost nothing, and it's very easy to share and it costs you nothing. It still had some kind of value when it was on CD's and DVD's because it was tied to the value of the CD itself. But now we're moving away from that model.

Netflix works so well, and will even pass torrent sharing soon because they don't charge people per unit of content anymore. And I think over the next 5-10 years we'll see music move from the iTunes model to the Spotify (Grooveshark, Rdio, etc) model, where people can freely share a song not having to worry that their ISP's are monitoring their traffic and telling on them to the copyright holders.

The copyright holders simply fail to understand there's a different world right now, and they're fighting against the wind trying to keep it the way it has always been - and they're failing.