More on the relationship between labels and fans

My previous post addressed the chasm between labels and the fans they desire.

As financial pressure continues to force labels to focus on their core competencies (A&R, artist development, marketing, accounting, publishing, distribution, etc.) there is a growing sense that labels are letting a large opportunity pass them by: instead of building a closer relationship to consumers by whittling away at distribution barriers, labels seem content to let new barriers be built. iTMS, MySpace.com, and other entities are growing in influence and are becoming another middleman for the labels to deal with, despite low barriers to entry and relatively easy duplication. And it's a crucial element of customer control that the labels are unbelievably giving up with barely a fight.