label owners wanted lower costs to produce music, the engineers had no say in that part, but did like the digital tools.....which were an outgrowth of multi-track. it costs a lot more to always record a group together. so not one thing but many different things. Sony and Philips were large content rights holders. and they saw a money grab opportunity to get a cut of every song anyone sold with the CD. and offer the labels higher retail margins with lower media production costs. but this also made the process of music making cheaper and more accessible.
basically greed, greed, greed. forget the idea of a higher good to change formats. follow the money. but then it got away from them....
the ripple effect of the Apple i-pod and i-Tunes in 2000 flipped the whole revenue stream of the music industry, and led eventually to streaming killing most physical media....and most music rights holders. with a few exceptions.
now it's more live performance revenue where the big money is.
music access is now cheap, universal and unlimited. except for a few of us who care about the finer details.
are we better off? i donno. depends. a case can be made. i know i'm happy.....but would i be happier without digital music? probably not. it is 'easy' and it's up to me how i listen, i'm in control, not the media.