Which is exactly the same phenomenon that occurred with music. The industry kept moving to better and better formats, only to be confounded that people didn't mind lower quality lossy compressed mp3s with swishy sounding hi-hats.
These formats were never made available outside "the industry". I've seen almost no artist (outside of Bandcamp which does it by default/for free) providing lossless downloads, let alone HQ tracks or 3+ channel tracks on normal albums. Reznor is the only one who comes to mind (he released multitracks and 24b/96KHz of Ghosts I-IV in the Deluxe editions)
(Oh, and Reznor's released other lossless albums too -- The Slip [24/96] and the NINJA 2009 Tour Sampler.)
tape->phono->cd-!->mp3 (originally not well received)
\-> mp3 if called iPod
But to answer your question, I never used Napster (but I know it was popular).
Records, arguably, provide superior sound to an MP3 player, but can you bring a 2,000 record collection with you when travelling?