There are a lot of factors involved with the PSP's low attach rates, not just piracy.
One fact that seems to have gone unmentioned is that handhelds traditionally have lower attach rates than consoles anyway, so the only systems we can ever really compare it to are the DS (a device that outperformed even Nintendo's expectations) and maybe to the GBA to some degree (though that would probably be impossible, considering the issues we have traking its software sales weekly).
There is also the lack of killer titles for the system, with only a handful being A titles. Most are B games and ports, and that just does not serve any system well. When S-E's big support starts to hit the system should be a bit better off. But this still kinda just extends from the fact that even Sony makes it seem as if the device is made for multi-media rather than handheld gaming.
Piracy is an issue, but it's by no means the only one and its not even likely the biggest one. People do keep buying the things even though Sony keeps changing the firmware to make hacking harder. While people on this site may know a bunch of pirates, you probably also know a bunch of people that buy/would buy more than 2-3 games a year. That not only (badly) fails to describe the typical video game consumer, but also indicates that no one here is in touch with the market the PSP sells to the most.
You do not have the right to never be offended.
