More piracy = Less profit = Less pay, smaller studios, and less games made.
It's simple economics. If games are pirated, then the end users are taking away profit from the developers.
Due to piracy, we get draconian DRM, less indie games, and more hoops to jump through to play any games.
Also, for extra points: Give me a list of quality developers in countries that have massive piracy. Guess what? Less piracy = more developers. There is a reason behind that. Look at Eastern Europe, Southeast Asia, and South America where piracy of games is rampant. There just aren't many developers. Yes, they certainly exist, but there are very few compared to countries that don't pirate such as Japan, the US and Europe. The simple reason is that the video game markets in said countries is very small, and can't/don't support legitimate titles which would lead to new studios in the said countries. I'd love to see more developers in "others" regions, but we will never see it until consumers adopt to buying new product. Until then, pirates are cutting developers throats in those countries (pun intended).
Back from the dead, I'm afraid.
