It is so easy for those who are tech savvy to get the music and movies they want without paying that of course the media industry is being hurt. The big companies can absorb the problem, but it is worse for the smaller firms and for the small film makers and singer/songwriters.
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Internet piracy is the result of the Media mostly archaic business practices. Why pay for hundreds of channels just to watch the 10 shows you like? It is a clumsy and inconvenient system for the consumer who has very little say in how they can get these services. It is the only way to push these business to respond to what the consumer wants.
In my opinion, Piracy is not killing the media industry. To the best of my knowledge piracy is a bonus to the media industry because it keeps it in the papers.What is killing the media industry is mp3 and digital recording in general. I personally haven't purchased any new music in years.