The CD is still very much alive, in my house anyway.
At this moment in time, I don't see myself ever paying for a digital music download, call me old fashioned but I need something tangible when it comes to music. (Though I do admit to downloading and paying for games through Steam and Good Old Games.)
To me, the CD represents excellent value for money, especially if I am paying around £10 UK for a piece of music I may well end up repeatedly enjoying over the next few decades.
Plus I never buy a bad CD but ALWAYS buy a good CD. I use Usenet and BitTorrent to get a "dodgy" copy of any new CD I am interested in, I give it a listen to and if I like it then I buy it straight away, usually on Amazon. If the download is crap, I delete it because it's not even worth the disk space.
Sorry, I probably do miss out on a lot of younger talented musicians who only release digital music but my excuse is I am in my fifties and my musical passions are mainly hard rock, prog rock, krautrock and blues from the late 60s through to the early 80s. From that perspective, the record companies are currently doing a superb job rereleasing and remastering both popular and extremely obscure artists from the genres and periods that I enjoy.
And because I get to hear every CD before I buy it, I never buy a bad one. That makes me an extremely happy and valued music consumer who is entirely content with the job the record companies are doing, I will never be able to find the time to get round to listening to anywhere near all of what they are releasing currently.
My CD collection amounts to over 2,500 of them to date, the added bonus of them is that I rip them once to put on my music server then they serve as their own backups sitting on a shelf - with nice sleeve notes to read whilst on the toilet because I am that passionate about my music.
There are extremely talented modern artists out there, but the vast majority of modern music I hear does not have the longevity or quality that I like in music, I am therefore not surprised that it's designed to be disposable, such that when you are bored with it after a few months, you just delete if from your hard disk.
Incidentally, I am probably also a total music snob in that I don't treat music like "Pick n Mix" sweeties at the cinema - I don't believe in picking just the tracks I want from an artist, any artist who cannot engage me for the entire length of an album is not one I would care to listen to anyway. I therefore listen to full albums, not single tracks or compilations.
Likewise, my music is a passion for me, that means that a lot of the time I just sit there and listen to it on some good hi-fi, I don't always have it in background whilst I am doing something else. Someone who just listens to music that way is not a true music fan anyway.
It's important to not make sweeping statements. Music means entirely different things to different people, to me it is extremely important bearing in mind I also go and see many artists play live too.