That's what Sony thought when they purchased CBS Records. Now they have a profitable electronics division fighting with an unprofitable music division. The music executives are totally freaked out that Sony's CD Recorders and MP3 players generate huge profits... as their payroll is slashed by a thousand. It's not a good scene.

Not that I think MP3's are the direct cause of the recording industry's woes, but alot of music people think they are. The main problem is that the industry had for 15 years been riding on a bubble of artificial sales as CD's spread through society and people replaced their vinyl with high profit margin back-catalogue compact disks. Just as that bubble ended, the economy entered it's mid-90's boom... the industry is structurally set up to deal with those inflated levels of profitability. So now they're fucked.