Psyringe: Information, education, marketing. Just in the same way as informing/educating people about the bad effects of alcohol works better than trying to prohibit it. Bring the bad effects of piracy into the user's conscience, short-term (risk of malware) as well as long-term (deprivation of the games one likes to play because no one wants to finance them any more). Reward legitimate customers with loyalty bonuses. Use social media to create a movement of people who advocate buying products instead of pirating them. Make it fun to be a part of this community, there are lots of possibilities.
I actually believe that this would be a more efficient method for combating poracy than the current strategy. But the problem is that the main goal of the game producers is not reducing piracy, but maximizing profit. For that goal, increasing control over one's product is extremely helpful. The fact that increased control may also reduce piracy a little is just a welcome alibi.
Pretty much agree with most of what was said there.
Most people consider hobbies expensive, but often they have no idea how the items they use in their hobby are produced. For hobbies like computer games or miniature model games this can be somewhat worse on the perceived value because what the user gets in a physical object is very small and also pretty darned cheap to reproduce (or in the case of miniatures is made of cheap materials).
It's only when they learn of the development costs of the product and are also educated in the fact that companies need profit that they start to understand that its not "big greedy corporations" taking all the money for profit and living the rich life.
I suspect the kickstarter and indy projects might actually help a lot here in the gaming world because they tend to be far more open with their production cycle - whereas most big developers don't let out much facts on their method of development or development costs in general.
Add to that the fact that PC games have moved totally online - to places like Steam where big sales (70- 80- 90% off!) are pretty common through the year and the product itself is quickly devalued. Games haven't changed much in price over the last 15 or so years £30 to around £35 for a new game - £40-£45 for a collectors edition. However the perception of what is purchased (which in a PC game is now nothing more than digital data) has shifted a lot and now people are much more demanding on a lower release price and also a little more willing to wait for the "steam sales" to hit to get some titles.
Education and understanding of how pirate activities would help lower general piracy and also start to at least stem the flow of the "casual pirate" user. Mix that with an increase in the perceived value of the product and you've more people willing to pay for the content.
The battle then becomes one of control - with many developers eager to push toward MMO and online based games or games that require such to try and retain control over the product. Sadly that is a harder battle to play against and I'm honestly not sure how to win that one. Fighting with the wallet is one tactic, but its also one of those things where if enough of the big developers get together to push through (or even simple follow after each other) it might become the default with little playerbase sayso.