The movie and music industries like to compare the piracy of their products to the stealing of physical items like DVDs, CDs, and tapes. But is it really the same? While I don't condone piracy or illegal downloading or copying of any kind, I just don't think this comparison is all that valid.
The major flaw in their logic is their apparent assumption -- a real stretch, in my opinion -- that anyone who pirates a movie or song would have bought it legitimately, had they not been able to pirate it. Therefore, according to their logic, every movie or song that is pirated represents a loss of revenue.
I don't believe this is the case at all, as I doubt that more than 20% of those who do this kind of illegal downloading or copying would otherwise buy the items in question. Most of these people are simply "freebie hunters" who will eagerly take any of these items they can get for free, but would never buy any of them.
There's one other thing that makes pirating a bit different from stealing physical items, even if we assumed that every act of piracy resulted in a lost sale. Physical items are purchased and stored by retailers. The majority of the price of an average retail item is derived from its cost. Most of the remainder comes from overhead items like rent, employees' salaries, insurance, etc. Only a small portion of the retail price represents some potential profit. When that item is stolen, it is a direct loss to the retailer. It was something he or she had to pay for and now has nothing to show for it. In addition, the rent, salaries, and insurance still have to be paid.
On the other hand, piracy (sticking with our assumption) results only in lost sales. No one is having something they paid for confiscated or taken away from them. Even for the retailer, it usually just means that he or she won't be stocking as many of the items that are being pirated. Of course, it may also mean that some items already bought and stocked will never be sold for the desired price. But these items can always be dumped somewhere -- on EBay, if nowhere else -- at bargain-basement prices.




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