Now, let me say this right from the start, I am a Lily Allen fan. Good now that we've got that out of the way, what is the little hypocrite going on about?!
She says that it's increasingly tough for new music acts to break into the scene with more and more file sharing... This coming from someone who made it by publishing her work on myspace... Ok then. As I see it, the easier people are allowed to pass around music, the more likely you music is going to be heard. If it were down to just radio play alone like it used to be, then I wonder where Ms Allen would be today.
When it comes to piracy, I agree that if people stop buying music, going to gigs/festivals, buying merchandise, going to the cinema, buying DVDs/Blu-rays &c, then the companies that create these enjoyable forms of media are going to be going out of business and there will be a lot less to choose from. But I really don't see this happening anytime soon.
I will continue to go to the cinema, buy films and music that I think is good enough for a purchase. I'm sure there are many that will, and many that won't. The only way to stop file sharing is to stop the internet. That is something that is just not going to happen.
And to finish off, a nice and amusing visual aid. Enjoy.