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Strange coming from Sony. Sony has been badly burned by piracy over the years.

I increasingly agree with Valve's appraisal of piracy; it's a service problem. If the pirate offers a game any time, any where, then the pirate is offering a superior service to a vendor. That insight is what made Steam so potent. It is interesting, however, to see how different markets evolve differently. Here in the states, piracy cropped up as an extension of game demoing before companies started to do that en masse. China, however, pirated because of a legal blockade.

One last thing: this "piracy costs the industry millions" line really bugs me. Yes, some sales are lost--especially in markets like China--but in the other markets there are also pirates who could never afford the proper game and pirates who buy legit copies of games they like. My guess is that one pirated copy in five is a true lost sale. And even there, it gives your company exposure and connects you to an audience.