First, the band did get a recording contract - and one that could easily be called major: they're signed with Clive Davis, possibly the biggest record executive of our generation (!).
Second was the surprise that the show is being picked up for a second season. This is a big surprise, not because the show is bad; as a guy formerly involved in music big time, I enjoy watching the process. No, I'm surprised because it had already been announced that the show wasn't being picked up.
I guess that news was premature.