You bring me a bigger audience or a better relationship with my audience or get the fuck out of my way. Next time I release a record, I'll be able to go directly to my fans and let them hear it before anyone else. We'll still have to use radio and traditional CD distribution. Record stores aren't going away any time soon and radio is still the most important part of record promotion. Major labels are freaking out because they have no control in this new world.
Artists can sell CDs directly to fans.
We can make direct deals with thousands of other Web sites and promote our music to millions of people that old record companies never touch. But there's something you guys have to figure out. Artists aren't like you. We go through a creative process that's demented and crazy. A lot of people who haven't been around artists very much get really weird when they sit down to lunch with us.