this post was submitted on 24 Jun 2025
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Yet again, the Japanese displaying a clear misunderstanding or willful ignorance of the positive effects of piracy on business and consumption.
If you target piracy, your product becomes harder to get or find, discoverability goes down especially among people that cannot afford to buy it, then you lose even more money since people that could maybe afford only some avanues of paying for your product are now priced out of the products entirely. This happens all the time.
The GameCube is my favorite example. It was hard to pirate games for. Unsurprisingly, the console sold really, really badly in South East Asia. At the same time, PS2 and Xbox both used normal disks, and consequently, since games could be pirated easily, those consoles outsold the GameCube in South East Asia. Nintendo was a victim of their own hubris, their attempt to reduce piracy literally meant they got outsold by their competitors. This is not a unique experience, this continues to happen again and again.
The main difference is counterfeiting as we understand it (physical goods) usually involves selling for profit. At least more than piracy. And if you ask me, companies frown upon piracy because they see it in the lens of digital counterfeiting. Yet in piracy's case, it usually involves no profit.