[visualops]

no longer taking risks on marginal artists like they used to

That's the total fallacy, there is no risk! The "marginal artist" is on the hook for several 100k. The music industry takes no risks, all expenses come out of the artists supposed earnings. A band can sell millions and still be broke. Have you ever seen a recording contract? The recording industry books make Enron look like a lemonade stand.

The reason a band may eventually have to get with a bigger label is strictly over distribution, hence the RIAA's major problem with file sharers- it isn't about the money, it's about control!

[moehoward]

BINGO

[discostu]

The hell there isn't a risk. Record company estimate on Fragile was that it would sell 5,000 copies, there was no possible way they'd make back their money had it sold the way the expected, but they released it anyway, and it went multiplatinum and ushered in Yes as a huge band. Which isn't saying that the industry is nice to the artists, but there are risks involved, don't pretend otherwise.