On one hand this pretty much destroys thematic albums (like classical music, prog rock, Tool or for example, something like Alice in Chains' Dirt), but on the other few could pull it off and those who can are still doing it (ex: the latest Opeth album). So maybe discovering new music is hurt, because itunes and spotify look like crowded ERs, but there's just as much good music out there - regardless of your tastes.

It doesn't kill it as songs can be remixed for the album version.