Music shouldn't be free IMO. Making it free would not really let musicians and record companies get the money they earned/deserve. That would just about ruin the music industry.
Sure, it's a convenience to the people that buy the music, but I mean really, that dream wouldn't last for long.
I agree with Youtube's action here.
EDIT: On a more personal note, if music were free, I'd just about go bankrupt and drop out of college.