Personally, I don't see many of the big singers starving in the gutter, because they still make loads of dosh out of concerts, which was how it was before and how it should be. Touring means them doing a semblance of hard work, whereas I find the idea of spending a couple of hours in the recording studio, and then making millions to be absolutely absurd. Releasing songs on CD and on the internet will just have to become another marketing tool.

As for the film industry losing money, all that I can say is about time too. For years they have been pumping out the most mindless drivel imaginable, with very few new, fresh ideas coming to the fore. People would pay to watch it before because there was little else to see and cinema tickets weren't so abominably expensive. Now, quite rightly, they aren't paying anything to watch it. If these films don't make any money, then the industry will just have to stop making them, and the ham actors in them will just have to spend a few more months a year doing nothing and sell off the beach side villa in Thailand.
As with many struggling industries, Hollywood will have to focus on quality rather than quantity.