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 Feb 20, 2009 - 09:09 AM - by Michael
* Stopping piracy by charging sane prices

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Valve's been making some interesting tests, trying out whether reducing prices boosts sales of games and reduces piracy.

Oddly enough, it seems to have worked quite well.

They also seem to finally "get it" that DRM and content restriction only hurts legitimate customers, and does nothing for piracy:

Moving onto the hot-button issue of piracy, Newell says pricing is not the main problem. ?The pricing issue, I think, is really misleading,? he says. ?In the PC audience, these people are spending thousands of dollars on their PCs and their internet connectivity. They are perfectly happy to spend money, so that?s not the issue. But when it comes to the service, that?s where the pirates are way ahead of us.?

He gave an example of wanting to own copies of the Dr. Who television series on DVD ? but being unable to legally do so, because it isn?t available in his region. When consumers are presented with such scenarios, pirates win out.

Furthermore, Newell claims, techniques like DRM actually increase piracy, not decrease it. It puts more distance between content creators and their customers, which ends up disempowering the creators.
Emphasis added.

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