There’s sort of a lot here in this anecdote, both about Prince and Smith as people, and also about fame, and how fame (and different intensities of fame) play out in different folk’s heads. But, finally, it’s about craft, and what good craftspeople do with the works that just don’t pan out.
But, most importantly, it’s a fun story and worth your time.
Also, FYI: Prince covered “Creep” and it is, in many ways, a substantially transformed work. For example, I’m not sure he ever actually sings the line “I’m a creep; I’m a weirdo”—in many ways making this the unsinging of the song.