Granted, this happened despite the music industry's efforts, it took a lot of pressure from Apple to get there. But still, I very much prefer the current situation over when Napster reigned. (Does noone remember the amount of garbage on Napster? The malware, the fake files, the low quality files? Not to speak of the terrible speeds -- many peers were still on dial-up...)
With iTunes, you can find new music easily, download high quality files, and get the album art and liner notes. Downloading and purchasing is fast and safe. You get to pay a fair price and know that the rights holders are being compensated.
After that, it was relatively easy for Apple to go DRM-free (though oddly, they still refused to do it for some time after).
* Note: Shawn Fanning and I founded SNOCAP after Napster blew up.