A small levy on storage media, say a penny a megabyte, would be more lucrative than trying to extract 60 million dollars from a music obsessed, file sharing, thirteen year-old.A penny a megabyte = $6 for a blank CD, about $50 for a blank DVD.
I'm not sure what is the answer, but taxing people for media they use to back up legally purchased software can't be the way. Neither can suing people chosen almost at random. If that's the best the RIAA can do, I'm rooting for the teenagers.
I bought a stack of 50 CD-Rs for about $20 Canadian the other day in a store similar to Best Buy or Circuit City. That's about 40 cents per CD-R. Maybe the tax is on CD-RW but who knows.