A change in technology is always gut-wrenching for those who supply products that are affected. The record companies at first refused to allow electronic copying and distribution of their records. The result was widespread pirating of popular music which meant zero profits for the record companies. In recent years, however, the record companies have relented and most are now enjoying huge profits from songs sold on iTunes, Amazon.com, Rhapsody, and other paid online music services.
Throughout history, similar "problems" have occurred often. Buggy manufacturers suffered turmoil when the horseless carriage appeared. Many went out of business, although a few switched to manufacturing automobiles and made more profit than ever. Telephone companies used to have monopolies on telephone equipment and service, until Judge Green forced the breakup of Ma Bell. After a few years of turmoil, most of the phone companies are again enjoying reasonable profits while consumers have lower telecommunications costs than ever before in history.
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