The music industry has already been through this gutting through hyper-abundance.
Huge numbers of people are going to spend billions of hours playing GTA6 though, and that won’t be scarce once it finally arrives.
There is only one highly anticipated 500 million triple AAA gangster open world simulation games in 2026. Usually there is only one every 5 years ago.
Arguably, the music industry has been in this state for years, at least since 2010's or even 2000's when it became possible to make quality sound with relatively small investments. I feel like AI music didn't really change much for an average listener.