Piracy is one of those things that can never be stopped or abolished. Piracy might be not in the market but it will still be out there. It can only be halted for a short period of time as it will never or can be stopped. If you want piracy to stop the industry should come up with a system that prevents it but this is almost impossible no matter what you do there will always be someone out there to crack it. If a film producing company creats a program that doesn't let you copy DVD's it can still be cracked. If it's a man written source code then a man can rewrite that same source code ableing them to copy DVD's .
90% of CD/DVD software copiers are already defeating protections. Hardware is limited by the instruction calls used to access it. .
You'll see people showing ways of outsmarting it and more importantly, the only way they can do it is if software writers agree to kill off their current business on the platforms used now. .
Are DVD and CD companies going to suddenly convert to a newer format? Considering the cost of such encoding on normal video cassette Its very unlikely that all but the biggest blockbusters are going to be protected. .
Also, piracy will never stop because you'll have to de-invent the programming languages which can reverse any such process. The companies thought DVD encoding was the way to go, that was short lived. .
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New computers may have protection, the old ones don't and thats where pirates will rule thier nest. In a way there asking Crackers/Hackers/Reversers to rise to another challenge and I think yet again, we'll see how foolish they are. .
No matter how inexpensive you make a product, there is always someone who's looking to save a buck or two. The studios will have to accept a certain level of piracy or waste time and money trying to accomplish the impossible. The trick is to find a balance, pricing products cheaply enough so that the vast majority find it worthwhile to purchase them while maintaining a decent level of profitability.