Piracy is WAAAAAAY overblown. That's why. No one in the industry actually cares that there is piracy for the PSP or DS and only use it as an excuse when they need to explain to shareholders why their crappy games aren't selling well.
But if we look at the charts, week after week the easiest systems to pirate for are (except PSP) racking up huge game sales, and there are more games in the top 25 best sellers of all time still on the charts now than any other time I can think of. Heck, 11 of the top 25 all-time sellers are still on retail shelves. The industry is healthier than it's ever been.
What the PSP's problem is, it this: not everyone buys it to play games. No one buys a DS to listen to music or watch movies, right? But plenty of people who pick up PSPs want maybe one or two games and, more importantly, a portable media player. The attach rate suffers for that and in turn the game-buying base is much smaller. In the end, a game will probably sell 5 times as much on the DS as the PSP just because of the user base's preference for each system, and 500k beats 100k any day.
You do not have the right to never be offended.
