Ok, straight up, I don't like illegal downloading. Doesn't mean I don't do it, but I don't like it. Maybe because I work in retail, I dunno. All the time I hear people saying "why buy that song when you can download it for nothing?" Well why buy anything? Why buy a CD when you can just stick it up your shirt and walk out? I'm aware that filesharing isn't really the same thing as theft, but thats the kind of logic these people use. I can kinda understand why people download instead of buy singles, when I was into Mansun I''d spend £4 on a single but that had 3 brand-new songs on it. Now you're spending £2, but only for the song + the video, or some crappy remix. Thats not value for money.
Obviously the internet is great for new bands and unsigned bands; its done really well for Machinae ofc, and paid services like iTunes are pretty cool, although pittance goes to the actual artists, just like physical CDs. My only real concern is that bands will be less likely to make albums and rather just put out collections of singles, or songs that are made to be heard seperatly.