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Thanks @termitemusic. I appreciate the input. Where do you see the needs from a musician's point of view?

... for me its a latency issue. Its small enough now, that we can pretend its not there, but it definitely is when you try to do anything intricate.
... We used to jam ideas over analogue phone lines 20yrs ago! Digital technology still is nowhere near that!! In theory, we should be already doing this!!!!

I strongly feel this is where music needs to go though, and there is a huge market for it!!!!

Thanks for the insight. The only way to get a solid grasp on all this is to try using it. Fire up your favourite conferencing software (Hangouts, Skype, Facebook, Facetime, etc.) connect with a musician and count 1 2 3 4 1 2 3 4 1 2 3 4 You will see pretty quickly what the limitations are. At that point you can make a decision as to what you can do with that tool. Ambient music is is not a problem. Latin percussion rhythms... not so :)

Tust me, I try anything new that comes along because it would be very useful to me!!! and yeah, anything that involves proper timing is a no no!!
There is also the two combining factors of computer power and internet speed!( and at both ends!) I think it will happen soon, and whoever manages to make the software that works will be RICH!!!! I for 1, would be willing to pay!!!