Personally, I'd think the jury's still out on this. Depends on where all the live business goes - which IMO is tough to predict today.
Fact is, playing live more and more becomes the only thing to make money from. Record sales (regardless of the medium) are pretty much dead and financially relevant airplay likely will be in a while, too. And everything else that's left in non-live musical environments will soon be completely plastered with AI stuff (Udio and Suno are scaringly good already).
So, to young folks, creating music on computers might become rather little attractive when a website based service that you might even still be able to use for free will outperform all their efforts left and right.
Hence, as a result, live playing is the only area where you might find some appreciation for what you're doing - and apart from some folks really only doing it for themselves, I'd say appreciation is a decent driving force behind making music (even if it - hopefully - is not the main one), especially when you have a band in mind. You just want to get out and do the rock'n'roll thing.
Which leaves me with the question: What will happen with small and medium sized live venues? Will they be able to survive or will they vanish? Or will they even become the next trendy thing because people are bored by megalomanic superstar shows and uber-polished (soon AI-based) productions? I'd say that's almost impossible to tell.
The only thing I'd place bets on would be that making a living (or even just any kind of revenue) from recorded music will be as good as dead very soon. Even so soon it's scaring. There will be a handful of folks left to assist some big acts (as they still need recordings to push their live game), but otherwise there's pretty much no more money to make.
Even today, if I were, say, doing video ads - I could already ask Udio if I needed some bits of music behind it. And noone in the target audience (those that I want to sell my chocolate bars to) would be able to tell. Next year, not even folks out of this very business will be able to tell anymore.
Having said all that, if you haven't checked out Udio or Suno yourself yet, I recommend doing so. Be warned, in case you're able to abstract things and imagine the next level (which is coming very soon, rather today than tomorrow), it's a scaring experience.