People would soon get fed up with the "industry" when they couldn't buy music online. The record labels wouldn't want to loose out on that amount of revenue, the suppliers (apple, Microsoft, Napster) all gave in too easily.
Just think how different the music landscape would be if the suppliers had held out and just releases tracks where the creator/promoter was happy for the track to be DRM free. We may even have new unknown artists that are actually good at what they do being readily available to buy from itunes or wherever. In the end we've got the same sort of market as on the high street where the number one is always which ever group can spend the most on sticking their faces all over the TV (or win a TV competition).
Sad really, many people were hoping for a revival of real music when online downloads came about.