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Oh, but you were talking about that particular panel discussion, weren't you ... not SXSW generally.
I'm sorry .... well, my view on all of that is that the literary agents and publishing houses are more about PR than anything else. They can do a lot to publicize their authors .... but that's really about all. I don't think they add any value to a book, and I don't feel they serve as a "filter" to sort the wheat from the chaff.
I've always been one to read a book based on either personal recommendation by someone who's opinion I trust, or because I just happened on it by accident and then decided to read everything that author ever wrote.
Examples of that last method of book selection are Larry Niven and Terry Pratchett. I never heard of either of them through any direct efforts of their publishers. I pulled "Ringworld" off the shelf just because ... and someone here recommended "The Hogfather."
I've purchased several books now simply because the author has come to MR and said they wrote a book and they'd like me to buy it. Only one book (out of maybe ten that I've read) turned out to be complete crap .... but that's not bad odds.
And, so yes .... I think publishers and agents may go the way of the Dodo.
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