Warner Music has announced that it is cutting 400 jobs in response to quarterly losses that were larger than expected. The world’s fourth-largest music company reported a fiscal second-quarter net loss of $27 million, or 19 cents a share, compared with a loss of $7 million, or 5 cents a share, a year earlier.

“The recorded music industry remains challenged by piracy and changing consumption patterns in the shift from physical sales to new forms of digital music,” the company said in a statement.

Warner’s losses also reflect the fact that the company has failed to adapt to the times. As the attention of tech-saavy first adopters has moved to Internet media like YouTube and podcasts, the mainstream music industry is nowhere to be found, or is busy suing people. There are hundreds of free music podcasts which offer an alternative to mainstream music and the limitations of DRM, so many people are filling their iPods with this music, instead of major label tracks.

Unless they can capture people’s attention, Warner and other labels are likely to become a less and less important part of people’s media consumption habits.