I'd post links but I'm at work & youtube is blocked.
There's still lots of great music out there. It's just in the clubs, not at Pepsi Center. If you like country, there's lots of people in the alt-country or other fringes doing good stuff. Denver has a good local band, the Hollyfelds who have two women with awesome vocals fronting the band. There's the Railbenders.
In July someone who has made a whole career of being out of the spotlight, Dave Alvin will be at the Soiled Dove. Depending on his mood it could be country, folk, blues, rock, rockabilly or all of the above.
I think the major labels are dead and artists have to make their own way. It's rough for some but it means lots of playing live, merch, social networking and other ways to get noticed.
Steve