P2P versus iTunes

Who will win the competitive battle between P2P file sharing networks and iTunes over the long run and why?

In the long run P2P file sharing networks will triumph over music retailers such as iTunes. This is because music retailers have been fighting a losing battle against file sharing networks since day one and based on usage data, there is no indication that things will change. Eventually, music retailers will have to embrace the free sharing of media files and develop new methods to profit from the music industry.

If the issue boils down to usage, P2P networks are the clear winner. The question then is, why doesn't the iTunes model work? Is it too expensive? Or too inconvenient? I think the model doesn't work because it relies heavily on copyright enforcement - something that past events have proven to be extremely difficult.

If copyright enforcement is not feasible then music retailers should shift their focus from providing content (mp3 files) to providing an experience. This includes music players and concerts. A shift in focus would not only allow artists to remain profitable, but it would also impact other industries that have traditionally fed off the music industry. Ticketmaster, I'm looking at you!