The Long Tail: The effect of P2P file-sharing depends on popularity
> A fascinating paper from David Blackburn, a Harvard PhD student, on the economics of P2P file-sharing concludes that it does indeed depress music sales overall. But the effect is not felt evenly. The hits at the top of the charts lose sales, but the niche artists further down the popularity curve actually benefit from file-trading.
Basically, good for the little guys, and bad for the massive stars. Not all that bad, if you ask me. The biggest music stars earn way too much as it is, while the unknowns are barely able to make a living.
