Tower Records' founder on its rise & fall (Russ Solomon.mp4 v1 by JD Lasica)

I recently interviewed Russ Solomon, founder of Tower Records, about the music retailing giant's rise and fall. The interview took place as employees were clearing out of the company's headquarters in West Sacramento, Calif.

A couple of surprising comments: "I don't think we're seeing the passing of an era (from physical goods to digital downloads). I don't think the CD is gone."

"The impact of Napster and free downloading was not as severe as one might suspect." He says the record companies "turned their backs on the kids" by their practices in the '90s, and he believes the future is big enough for digital downloads and CDs. He also discusses Tower's overexpansion and financial mismanagement.

Russ is a great guy — down-to-earth, unpresupposing and really smart. He talks about the momentous changes occurring in the music industry, digital music, and where he'll be going from here.