audience won't have a choice but to watch it
This is only true if humans stop making art. Maybe Hollywood dies at the hands of AI, but independent media will always exist & consumers will always have a choice.
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I'm not sure how you can get much cheaper than a local band lol.
I can go see a DIY show with a local no-name act for less than $12. There are even shows (often I see this for theatrical shows) that are pay-what-you-can (including $0). I don't see a world where these are going away, even in the face of AI.
Besides, I don't think the consumer is comparing a local band with the 'beetles'. The Beatles are quite literally one of the most influential acts of all time – it's a false equivalency.