No question about it, something had changed by the late 80's - if you'd spent the early to mid 80's grabbing every great release in OUR CHOSEN(SUPERIOR)GENRE like myself, you probably noted the shift in the musical landscape. It was subtle and difficult to quantify, but apparent.
At that point I was looking for something new and different but still part of the "underground culture" I felt most of the bands I loved came from.
For me, it started in probably '88, reading an article about the hot new 'acid house' movement in England (which probably actually originated in hip gay clubs in the states). It had synths and electronic drumbeats so it wasn't too far removed from synthpop, and it wasn't mainstream - I immersed myself in it (without ever being in a club that played it).
From there, I went to Todd Terry's 12" singles then to the NYC hip hop. Some of the greatest rap records of all time were made in '88 and guess what - very little swearing, use of the 'n' word, etc....alot of them were topical, like the Clash and Gang of 4 had been for me (to me, rap went to hell in the 90's with very few exceptions).
Certainly there were extensions of new wave - I consider the whole Stone Roses/Happy Mondays/Primal Scream era an extension of it.
The other thing I did, oddly enough, was start trying to appreciate so much of the corporate/classic rock I'd dismissed all during the 80's. It took some doing, but I can now listen to the 1st Boston lp without twitching....!!!
What did you do?
