The problem is not that people are downloading movies or music. There's no way to adequately copy protect digital media - the industry spends months developing a solution, and a kid says "Hah! I only need to hold the SHIFT key down and it works!". So much for copy protection.
What the entertainment industry needs to do is embrace the new distribution model, and price accordingly. Alternatively, those of us who are into big government can see the benefits of a levy on recordable media that gets collected at the source and distributed via formula to content providers.
Here in Canada, the government has mandated a levy on all recordable media, regardless of who buys it or what they buy it for. The levy is redistributed to the entertainment industry association who ostensibly redistribute it to the artists. QED, and now in Canada it is LEGAL to download music off the 'net, because we've PAID for it. Of course, we still have to deal with the terrorist tactics of the RIAA and the MPAA that try to poison our P2P networks, because their bullshit knows no borders.
Simply - they have fought every distribution revolution since the dawn of time, from radio to the internet. They just need to quit whining about change and adapt.
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"Act as if the future of the universe depends on what you do, while laughing at yourself for thinking that your actions make any difference."
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