This is what Netflix has started to do with some movies/series (e.g. Arrested Development). The problem with this model is that it doesn't scale, even if you could make a deal with a handful of the top grossing artists you'd still need to talk with WMG to license the rest of the artists.

More and more I think we need to reinvent the way that big music companies work. Some independent labels are doing just fine without treating their users like crap so at we know it's a viable business decision.