There is a seismic shift rippling through the entire economy, but it’s difficult to observe because it is invisible. I call this change “vaporized”. When my clients ask me to explain what is happening to consumer electronics devices, fixed media and even retail stores, I tell them that these things — and a great many others — are being vaporized: that is, they’ve been replaced by digital software.

The process of dematerialization has been most noticeable in the media and entertainment industr...