I'm not entirely sure what point you're making so if you could clarify that would be helpful, but if I assume that by "we should let the firms making the unnecessary product(s) disappear" you mean: record labels provide no value... then my response is as follows:
Record labels provide a lot of value, they provide the funding to produce albums, to go on tours, they provide the marketing experience and reach to take a band from small to big. Labels don't just take a chunk and provide no value, otherwise why would anyone sign? Labels provide a lot of value: value that (apparently) nobody on the internet understands.
Justin Bieber is a great example, he was a dumb kid on Youtube singing songs and had a small fanbase, he could have continued alone to make songs and maybe sell them on Bandcamp and maybe make a few thousand $, instead he chose to sign with a label and today is worth hundreds of millions of dollars, if not more. He is a global brand. Would Justin Bieber be worth $xxx,xxx,xxx today if he stuck it alone? Has any independent musician ever done that before? The value of labels is clear.
People don't need labels now to build a following, that much is true, but that doesn't mean labels should not expect the same protections that other business types get. If a label has a product they should have reasonable expectations of control over that product, this includes making it illegal to steal that product.