I found an interesting analysis by Calvin K.M. Lam and Bernard C.Y. Tan, titled: The Internet is Changing the Music Industry, beating the dead horse, I know.
However, there are many people that know only what the mainstream media has promoted, usually in the form of a good guy vs. bad guy deal.
It is only 7 pages long for the impatient ones out there, but this is not the kind of story that can be compressed into a seven second soundbyte. This is my favorite quote:
"What is more worrisome to the music industry is not the advent of MP3 or copyright issues but the emergence of a new Internet distribution channel, dictated by consumers."