They've been saying this for a while. CD sales for toss-away pop music are way down compared to downloaded. Talking about the latest, greatest marketed entertainer, e.g. like the last 5 Super Bowl half time bands who were not the Rolling Stones. But people who listen to music for more than just background noise like having physical mediums and liner notes. Even Crash I bet would say the worst CD sounds better than a good MP3 and that isn't exactly the highest bar to jump. It certainly goes LP->CD->MP3 in my order of medium preference when buying a new record and I'm not anti-CD-ite by any stretch.
"Why does the U.S. care which flag will be hoisted on a small piece of land thousands of miles away?" -- Ron Paul