PlayingHere.com is site/service my brother has been developing that I think has hit the tipping point and now provides a more detailed list of live music in most US cities than what most newspapers provide. It obviously lacks musicians who aren't interested in reaching the MySpace audience (and has a lot of events from bands I personally don't care for... when did trash-christian get so popular?), but it's a great example of crowdsourcing.
Playing Here's goal is to make the information local bands are already posting to MySpace more useful by adding the ability to sort by date/venue/city/band. How is this useful to people running music sites or newspapers in Drupal?
Playing Here provides a web widget (that can easily be added to a block of Drupal site and themed like I've done on SidewalkTheory.com) as well as feeds in both RSS and iCal format. With Leech (or one of the other RSS modules) you can suck upcoming events into your site from Playing Here as unpublished and then do some moderation before posting. To get to the RSS or iCal feed, simply navigate to the cities you are interested in.
Currently the feeds are city based so you'd likely need to subscribe to several nearby cities to compile the most accurate list for your area, but we are working on creating feeds with a "within x miles" feature.
Take a look. If there's something that would make this more useful to Drupal users, let us know.