So very very true. This happens to every pirate eventually...lol yeah the good old days of warez on a 56k modem, heck
I was actually on a 33.6k modem in my warez horing days. If there was a crack available for a program I'd download it then never even use it. Sort collectomaniac style.

lol thats children for you and not getting out enough!

Stealing is stealing (Is what we've learned from this thread right?).  You are completely in denial.  When you download an MP3 are you not downloading someone's intellectual rights?  How can you place a value on that?   You can't. 

And just how "Evil" the act is can be related to the "going" price of an item?  So just for example,  if a thief steals a 1986 Geo Metro (Someone's exclusive means of transportation)  he is less of a criminal than a thief who steals a 2007 Mercedes Benz?

Sorry, but they both will warrant the same punishment.

The simple fact is this. 

The music industry gets music pirated left and right because they have for YEARS gouged their customers with insane prices.  CD's at 20$ a pop?   When it costs literally a few cents to purchase a singular blank CD. Guess what?  The people have determined what price they will and won't pay. 

The movie industry in general directly relates to this as well.  Ever go to see a movie?  How much does it cost for 2 people to go see a movie?  8-10$? (Per person) then when you stack the cost of a drinks/food (And the 350% mark up on these items).   VHS, DVD,Blu-Ray, etc.    

The video game industry is much the same way.  Gameboy games costing 30-35$? PSP games the same way?  For a hand held game?  Really?  600 dollar consoles...Really?  50 dollars or more PER controller?  Really?   100$ for a Wireless Adapter? When you know the actual hardware component that you're paying for can be bought for 10$ online.   Give me a break.

These industries have taken advantage of their consumers for way, way too long.  And please don't talk about making money.  Software Developers, Movie Studios are making hand over fist in profit if they put out a good product.   That is why you see Movie, Games and Music budgets(Between videos on MTV and publicity) going through the roof.  You don't spend record amounts of money if business "isn't good".

Not all developers who put out excellent products profit.  Troika Games and Clover are testaments to this.

Piracy has not killed the PSP. It's selling pretty decently.

While certainly you could make cases for people/companies/etc not getting what they 'deserve' in terms of money.  In the business it's all about catering to your consumers.

Being that how good of a product is 'highly' subjective in nature,  they apparently did not put out a good enough product to generate enough revenue.  Troika really did nothing of note (Other than mediocrity) to my knowledge (Correct me if I am wrong).

Clover was a solid studio and their games were generally solid overall, But we have no idea what budget Capcom dished out to them to create games.  Also,  Clover created good games but many/most of which were more niche based titles that didn't relate well to the largest selling markets.  While that doesn't deem them "bad",  it certainly doesn't indite their talent necessarily either.

PSP Hardware is selling yes but PSP Software isn't, that is the problem,

I do think the PSP problems are a lot more than just piracy though, remember it has the DS to deal with which has games coming out every second lol.

Your view excludes those companies which produce good products such as the above while encompassing shovelware makers who glean large profits off small investments with shoddy products.

Profit as a metric of quality does not work and attacking the quality of good former developers using that metric is an insult to their accomplishments.

^profit is a great metric of quality of business and business strategy. maybe not so in art.

Pirates can't kill shit. Ninjas on the other hand would vanish any company out of the face of the earth if they wanted to. Even Nintendo would be no match for the ninja wrath.

 Like I said earlier,  it is very subjective in nature to determine what is a "good" title and what isn't.  You might love Pokemon.  I might hate it.  That doesn't mean either one of us is right or wrong.   Although the mass appeal for the game puts me in a far minority.

Who makes shoddy shovelware and gets large profits?  Care to give an example?  Like I said.  What has Troika produced?  That many people have cared about? 

Profits/Sales/General Revenue and mass appeal (All of which go hand in hand) are good indicators of how successful or unsuccessful a developer is.  Personally, I hated the Viewful Joe series.  I thought they sucked.   Okami?   Bleh.   My good friend loves both however.   But overall,  most people DIDN'T enjoy those games or had a passing or no interest in them.

For example,  Media Molecule recently released Little Big Planet.  A niche genre (in 2008) exclusive to a third placed console in terms of sales.  Yet they are currently at 2 million sales and making plenty of profit. 

The brutal truth is,  Troika and/or Clover certainly aren't as good of developers as you make them out to be other than personal opinion (Which you're fine to have), a majority of 'Video Gamers' agree with that sentiment.