With the advent of MP3, and the fear of losing their power over the music industry, the powers that be have established the Secure Digital Music Initiative to create their own format for the copyrighted sale and digital delivery of music.

Last week, they appointed Leonardo Chiariglione, to lead their effort and Mr. Chiariglione, one of the developers of MP3, promised to develop a new format by Christmas.

Whatever the format, the major labels are dinosaurs. They know they can't pimp MP3 like they've done with LPs, cassettes and CDs. That's why they're running scared. With MP3, the dam has burst. The chickens are finally coming home to roost. The playing field is leveling. The little man is getting his chance.

With three years, the marketplace will be flooded with 500,000 independent labels. The majors can try and co-op the music and the technology but the Net is a tool of empowerment and they can't stop the average person from getting into the game.

Today, a major label makes a CD for as little as 80 cents, then sells it wholesale for $10.50. Retailers then charge $14. There's a term for this -- highway robbery. The labels were able to pimp CD technology but they can't do that with MP3.

Of course the first thing they do is cry foul. MP3 is a vehicle for pirates. They're worried about the money they're losing, these label guys. Call out the attorneys! Imagine the legal bills. Better yet, imagine a world without lawyers. And now, even more bad news for the big boys -- MP4, which compresses files even more. Music files will be small enough to email.

You may ask, Mr. Pariah, why are you so angry most record companies? Well, I think there's a universe of incredibly talented musicians playing today. The music business is set up in such as way that artists become one-track ponies. Not so much in jazz, but in popular music it's about a song, a video, the quick return. Forget about artistry. The way radio, retail and record companies govern the music is frightening.

With the changes in technology over the past decade, a number of well intentioned, independent labels have emerged. Everything from artists releasing their own CDs to tiny companies that produce five or six CDs a year. Until the Net, these companies went out and distributed 5,000 pieces of hardware, the CDs, to get exposure. The Net eliminates all that. Independents can test a market without ever pressing a CD. The demo, as we know it, will become extinct.

Now, even with today's slow connections, people are purchasing tracks from MP3 sites, and listening on the Rio player, asking, "why the hell should I spend $14 at a store?"

No wonder the labels are running scared.