To produce, distribute, or sell without permission or illegally. In this case, we aren't talking about artist or label-sanctioned recordings of live shows. By Bella Tu

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US Laws exist to protect artists rights (these may vary for where you are in the world). These laws include:

The Audio Home Recording Act of 1992 (AHRA)

This 1992 legislation exempts consumers from lawsuits for copyright violations when they record music for private, noncommercial use; eases access to advanced digital audio recording technologies; provides for the payment of modest royalties to songwriters and recording artists and companies; and mandates the inclusion of serial copying management technology in all consumer digital audio recorders to limit multi-generation audio copying (i.e., making copies of copies).No Electronic Theft Law (NET Act)

The No Electronic Theft law (the NET Act) is significant because now sound recording infringements (including by digital means) can be criminally prosecuted even where no monetary profit or commercial gain is derived from the infringing activity. Punishment in such instances includes up to 3 years in prison and/or $250,000 fines. The NET Act also extends the criminal statute of limitations for copyright infringement from 3 to 5 years.

Additionally, the NET Act amended the definition of "commercial advantage or private financial gain" to include the receipt (or expectation of receipt) of anything of value, including receipt of other copyrighted works (as in MP3 trading). Punishment in such instances includes up to 5 years in prison and/or $250,000 fines. Individuals may also be civilly liable, regardless of whether the activity is for profit, for actual damages or lost profits, or for statutory damages up to $150,000 per work infringed.

The Digital Millennium Copyright Act

As far as music goes, the DMCA covers most of the copyright infringement activities. It is a crime to circumvent anti-piracy measures built into most commercial software. Cracking software is outlawed, thus explaining why certain proprietary audio formats haven't attracted much attention from the underground. Internet service providers are expected to remove material from users' web sites that appears to constitute copyright infringement. 'Appears' is the big word here. It also requires webcasters to pay licensing fees to record companies. This article is simply a guide to current laws as they stand at the time of publication. Please do not use this guide as a substitute for legal advice.

Recommended sites:
Overview of DMCA
Full text of DMCA
Recording Industry Association of America (RIAA)
A guide to the Audio Home Recording Act of 1992
H.R. 2265 - No Electronic Theft (NET) Act