Will someone please call me the day a law 'prevents' computers from playing unauthorized materials? Last I knew, computers didn't exactly care so much about laws. In fact, they care less than the people downloading the materials!!! Oh My!! what will we ever do. Ahhh but of course...We will have to buy a $5000 chip to put in our computer that keeps our sound from working. Then again, WindowsME can do that for the low low price of $98 or whatever.
Prices are determined by the marketplace. Things that are new and hot will always command a higher price. Failed albums quickly quickly get to the remainder bin. Collections of older music have lower prices. Used CDs sell for a few bucks at garage sales.
Here's the really scary thing for record companies: CDs are far better in quality than kids' sound systems. Heck, even the lowest quality MP3s are better than the systems they are played on.
There is absolutely no force in the marketplace for the six channel 24 bit audio DVDs that are possible. CDs cannot be copy protected. You might be able to prevent fast ripping on a computer but you will never stop copying at a quality level acceptable to kids.
Artists are not backing the record companies because the companies treat them like the old Hollywood studios treated actors -- basically slaves always indebted to the company store.
Now everyone says the music sucks. I can't comment because I'm too old to follow the new groups. And when I did followed music I leaned towards alternate alternative -- the Fuggs and Zappa. My kids are into jazz and swing, mostly old stuff, although they follow some current live bands.
It's just possible that we are entering one of thse pendulum swings where live bands will have more following than recorded music. And those bands that are good can publish without a record company.