Great article from Time magazine.
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On April 28, 2003, Apple unveiled the iTunes Music Store. At the time, it was difficult to see why iTunes would succeed where Snocap, among many others, had failed. Because, again, how do you compete with free?
But iTunes did succeed. Apple’s relentless emphasis on simple, attractive user interfaces, backed by Jobs’ steely negotiating power in dealing with music studios, produced a streamlined, curated service with which you could download and transfer music with a minimum of fuss. And we did — even though it cost us money and our purchases were bogged down with DRM that constrained what we could do with them.
It turns out that there is something that can compete with free: easy. Napster, Gnutella and BitTorrent never attained the user-friendliness that Apple products have, and nobody vets the content on file-sharing networks, so while the number of files on offer is enormous, the files are rotten with ads, porn, spyware and other garbage. When Jobs offered us the easy way out, we took it
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via John Gruber