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"Call of Duty 4" developer shocked by level of PC piracy
http://fourzerotwo.blogspot.com/2008/01/week-in-review-servers-servers-servers.html
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In your case, someone has physically lost an object and gained nothing. They no longer have that object to sell or profit from. The physical materials and labor that were put into the creation of that instance of that object are for naught.
In the case of a media type download, the owner of the IP did not actually lose anything. They are still free to sell the same number of products as before the illegal download, and have not actually lost any money. They have only lost money if that downloader had the means and/or intent of buying the product and instead chose to download it.
And yet again, as has to be stated at the end of every post that doesn't blindly follow the 'kill, eviscerate and neuter everyone who downloads anything' camp, I'm not arguing that piracy is right, merely that it cannot be put on the same level, side-by-side, as physical theft. They are two distinct actions.
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