I agree. Their model is built around locking consumers into this artificial and, these days, complete unnecessary workflow.
The next model Apple will have to go to is simple, the competitors are already there: iTunes on the web, cloud stream to your iDevice. But even then this will only work so long as iTunes continues to offer exclusive content that you can't get elsewhere, and that's also rapidly diminshing . As a content provider would you like to be locked into one platform or show up on as many as possible?
> iTunes invented modern online music distribution.
So? Their model is now, quite frankly and charitably, old fashioned. The only current purpose of which these days is to try and keep people from fleeing to other, better, platforms.