I think that SXSW was once a very nice festival to promote new bands and artists to get them in the public eye and media. But now that SXSW has become so massive its hard to get noticed now with all these thousands of acts that are there. Not to mention that the festival seems to be shifting more toward the growing tech world. But for a brand new artist/band, any exposure, especially something as big as SXSW couldn't hurt that bad. And if for some reason you don't have to pay to play there, I think you could only really benefit to gain some new fans here and there.
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