John, I agree with you in regards to musicians working as a collective to solve this problem, and we stand in a better place to do it now more than ever with the internet undermining the big dogs. Most musicians work against each other which makes no sense.
I used to get frustrated with the lack of support towards local musicians. Radio stations don't even help promote their own, but that all goes back to payola and all that (and don't think for a second that isn't still happening).
As for internet sales, any one of us can open an tunes or cdbaby or whatever store and make albums right now. The hard part is driving business to it. I've had difficulty in getting people to even take the time to listen to a track at all because, well, people just do not support independent artists. I do not care about getting sloppy filthy stinking rich. I would just like to bring in a little money to enable me to buy a little freedom from a" job" to make more (and better) music. As it is, I struggle for time to create between working, wife, kids, etc... and my wife doesn't try to help me make the time because she doesn't take it seriously simply because I don't do it for money. If I could make a little, then id have the" right" to do it. I sometimes give lessons, but I do that for free as well.
I think there needs to be a collective of independent and online musicians to create an awareness campaign for the public to support their local and independent artists. Music isn't on the radio because its popular, its popular because its on the radio. People have the illusion that they make choices about what music they like, but most people are conditioned to swallow up anything the radio says is good.
I don't want riches, I just want to buy my freedom.
/rant