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The solution to declining sales isn't eliminating piracy. It might help a bit but not much. As I said the big Tubes would go licensed content and still retain all their traffic.
The problem is the sites that bring in the money are locked into a system that no longer works in 2010.
The cost of traffic, in it's entirety, is far too high. With the other costs such as banking/processing, admin/office, programming, legal/accounting, overheads, it leaves too little for the product.
Even then these costs tie us into a model of $30 a month recurring. Which a lot of customers simply don't want. Or sites aren't worth a 30 day membership.
Adding things like live content, live chat, forums and great content cost money. Doing all that on the budget most people have for the product is impossible.
Not doing it we are always going to be selling a months supply of hamburgers while Tubes give hamburgers away for free.
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