The advent of the Internet and widespread high-speed broadband access has transformed the experience of music, partly through the increased ease of access to recordings of music via streaming video and vastly increased choice of music for consumers. Chris Anderson, in his book "", suggests that while the traditional economic model of supply and demand describes scarcity, the Internet retail model is based on abundance. Digital storage costs are low, so a company can afford to make its whole recording inventory available online, giving customers as much choice as possible. It has thus become economically viable to offer music recordings that very few people are interested in. Consumers' growing awareness of their increased choice results in a closer association between listening tastes and social identity, and the creation of thousands of niche markets.

Another effect of the Internet arose with online communities and social media websites like YouTube and Facebook, a social networking service. These sites make it easier for aspiring singers and amateur bands to distribute videos of their songs, connect with other musicians, and gain audience interest. Professional musicians also use YouTube as a free publisher of promotional material. YouTube users, for example, no longer only download and listen to MP3s, but also actively create their own. According to Don Tapscott and Anthony D. Williams, in their book "Wikinomics", there has been a shift from a traditional consumer role to what they call a "prosumer" role, a consumer who both creates content and consumes. Manifestations of this in music include the production of mashes, remixes, and music videos by fans.

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