Kenny said:
Your post has highlighted the flaws in the current approach, as well as why it's just wrong headed. The DRM approach has resulted in an environment where the value of the pirated version of a game is actually greater than the legitimate copy, due to the various restrictions imposed on legitimate buyers.
The solution, however, is not to keep applying the stick over the carrot, because further reducing the value of the legitimate product is not the way to go. Rather, the solution should center on making the legitimate copy worth more than the pirated version by increasing the former's value, as opposed to (attempting to) decrease the latter's. You know, build software around the explicit expectation that it will be pirated, but offer something extra to the fellows who are willing to give you their money.
Piracy has become incredibly easy for anyone with any computer savviness, and therefore must be accepted as a reality of the market, no matter how wrong anyone may think it is. Hence, notions of right and wrong aside, the developer has to offer a convincing argument that the real deal is better, at which they have largely failed up to now.
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This. There is no better answer than this. To get what you want is to give what they want. That is the path of least resistance and the most successful path. No empire has ever dominated forever based on control of iron will. The illusion of freedom, the belief of self control is the utmost of value to almost everyone on this planet. To offer the better version to payers will signifigantly increase purchase. To iron wall in an attempt to stop piracy will meet with failed attempts.
Let's look at the PS2, PS3, Wii, DS, PSP as a sample. The PS2, Wii, PSP, DS use copy protection. They are all hacked consoles. After than they have little in common. Usebase, tech, os, target audience all different. This we can agree on. Why is it then the PS3 has overall seen more succesful security than the PS2 and the Wii. Simple Sony decided to leave an open door specificly for the homebrew company. Because they did not need to find a way to run unauthorized code on the PS3 this has led to a much less effort for an exploit search. Rather than a universal search by the homebrew comunity. Because of this primary reason of insight for Sony to give what the homebrew comunity wanted. They managed to get what they wanted in return. Reduced piracy.
This is not an argueable concept. This fundamental strategy is thousands of years old. To get what you want with least damage is to comprimise. The more you resist the more they push back. The more kinetic energy stored the same for release. These are philosphies and universal laws are just as applicable in reality as they are in business. They are often ignored under the delusional influence of money.
@Squalliam
I'll disagree with your oopinion on qaulity of PC games. The game qaulity has never dropped if you look at more than the big companies. There variety, amount and qaulity have always been there. While consoles have the convience of effiency they are typicly don't have the variety. Either way game libriaries tastes vary and if one doesn't work for you then that's understandable.