MIT solution to Napster

MIT students have developed an interesting solution to peer-to-peer file swapping. A pair of students developed a system where a user logs into a site, gains control of a localized cable station, and pumps music to their room via their TV - making the transmission analog, not digital. Pretty ingenious but it appears that it's setup to listen to one CD at a time - isn't one of the main points of the file swapping debacle that people are just downloading single songs and that albums are dying a slow death?