Most of his hardcore fans (and that includes me) try to explain the story to friends, families, cowokers... by saying that Prince did not go nuts: he was (to our eyes) honestly fighting for his rights, because the music system was extremely unbalanced so that the economic income is basically going to big corporations, while the creators receive a minor part of the money their creations are earning. Once more, fans supported Prince in spite of his very controversial actions, and once more, fans accepted being considered "weird people, just like him" due to justifying his actions.
2007. During a most successful series of gigs in London, Prince announces he does not want to be photographed (let alone filmed) during the live performances. The advertisements to fans reach ridiculous levels at the O2 auditorium entrance. Furthermore, some fans are actually catched while taking pictures and banned from the event, much to the disgust of them who didn't think they were making any harm by taking a picture to remember such stunning show. However, and although most fans accept that Prince is in his right to prevent making pictures within the auditorium, they can not understand the message he sends to most fansites on internet, asking "respectfully" to not post pictures taken at the shows. Many of those sites, with the goal of avoiding further trouble, accept that requirement, and no show pictures are shown.
Yet in Housequake.com, after consideration between the team of moderators, it is concluded that once fans leave the O2 auditorium, if they could get pictures, these pictures are owned by them, and thus they can show the pictures, even if Prince does not like the idea. Pretty much the same reasoning by which many pictures of other famous people taken in public places are published (both in magazines and in internet) by papararazzi, against the wishes of the photographed people: as long as the privacy was not invaded, there is no law in the world preventing these pictures from being shown. This reasoning is not accepted by Prince; rumours suggest that the genius musician is planning to file lawsuits in order to force Housequake.com to remove the pictures.
I post both stories, from the early 90s, next to the current controversy, to evidence the contradiction in Prince behaviour.
Back in 1994-96, he was openly looking for support from fans to help him in his fight against WB.
Now in 2007, fansites are being threatened by Prince, who "respectfully" asked for something which is only his WISH (NOT the law), and later, forgot about the "respectfully" word to, plainly, use all his economic power in order to pressure fansites to comply with his WISHES, regardless of the law.
It is hardly surprising that more and more fans of Prince music keep on having the highest regard on his live shows, while at the same time, his consideration as human being is much more controversial.