Songwriter's brick wall getting higher?

I have been kind of depressed since yesterday.
I pitch my songs to indie artists on a regular basis and rejection is just part of the process that one gets used to.

But, yesterday I received an email from someine I'd pitched a couple songs to. The artist was sending the email to the many writers who had submitted songs to be considered for inclusion in her project. In the email she thanked all the writers and told us how amazing our songs were.

However, her Producer had convinced her to only use her original songs on the CD. Now that is fine but she then goes on to state that she placed a listing in RowFax looking for songs because she didn't feel her original songs were strong enough.

So why would the producer try to convince her to not use outside writer's material? I can only think of one reason and that reason being money. These days with the demise of CD sales and folks illegally downloading MP3's on the internet, it is getting harder for the artist to make money. They used to get it from CD sales. So to scrape cash from wherever they can they are using original songs because at least they can earn royalties as the songwriter and if they own the publishing - those royalties as well. Even if the songs aren't good enough - they at least can save money by not paying the mechanical royalties that would be necessary if cutting a song written by others.

I totally understand their reasoning - it is why I set up my own Arnybarn Music publishing company back in 2006.

However, although I love performing and singing - I know I'm no Kenny Chesney or Darius Rucker - but I do try to write competitve songs that they might want to record. If more artists follow the direction this Indie artist I've been speaking of is taking, the brick wall songwriters must scale and overcome just got a lot higher.

Hence my depressive mood......8>(
Dave