I think you're missing 2 factors in the service/distribution problem:
- pricing - for some kids some games are just too expensive, and they still want to play, and don't want to be left out;
- platform lock - this is more for emulation, where people don't want to buy a platform to play 1 or 2 IP;
I see Gabe's reference in both of those scenarios, because Steam always had good deals, while retailers didn't.
You might say: "in that case, some people are only willing to pay 0$ for a game, and they shouldn't have access to it."
While I understand it, I bet you a massive chunk of GTA V, RDR2, and soon GTA VI players that have available income now, had their first experiences with the series through piracy.
But I agree there's no nobility, just people that can't afford stuff, or don't value it enough to part with their money, but you can't assume they would be customers at the moment they get a copy.
> - pricing - for some kids some games are just too expensive, and they still want to play, and don't want to be left out;
Sorry, but that’s life. Saying something is too expensive but you still want it doesn’t change anything.
> - platform lock - this is more for emulation, where people don't want to buy a platform to play 1 or 2 IP;
How is this relevant? You can’t play a pirated PS5 game without buying a PS5.
This is just another variant of your argument above that people want things but don’t want to pay for them.
> but you can't assume they would be customers at the moment they get a copy.
You can’t assume that every pirate would not be a customer if they couldn’t pirate.
Which means the sales would be higher without piracy. Which means piracy hurts revenue. The rest is hand waving.
> - pricing - for some kids some games are just too expensive, and they still want to play, and don't want to be left out;
This was me for a long, long time. I pirated games until I was into my late 20s simply because I couldn't afford to buy them. Now, with Steam, the idea of pirating a game is something I never think about.