Computer piracy is a lot different than sea piracy. Instead of plundering and attacking the commercial ships in the middle of the ocean, computer pirates usually steal intellectual property and then, eventually, give it away for public use. This can potentially destroy the person or organization and there are a number of examples to back that up.
Piracy is rampant in gaming industry
Computer game companies are one of the mostly impaired industries by pirates. With the help of skilled programmers, pirates crack the code of the game that stores information about individual copies. In other words, you no longer need to go to the store to buy a game - you can simply download it for free from a pirate server.
Pirate software has its flaws. Many online applications are practically not crack-able, because your ID is verified on a company server, and pirates have no access over there. Standalone cracked software is with a changed code and is susceptible to malfunction and can really damage your computer, let alone not run properly. Official licensed software guarantees that it can get the job done and is bug free - something pirates give no absolute guarantee. They simply don't care, because, after all, if you like the software, you will probably buy it yourself.
Necessity and types of software piracy protection
To combat with this situation software companies have created software piracy protection software. The software piracy protection comes in many forms according to the purposes. Some DVDs are made so that the game only runs if a certified DVD is present in your CD-ROM drive. Other require a serial number along with security applications on the actual DVD you bought.
Pirates are usually very good programmers who look forward to be hired in big companies and thus increase their popularity and income.
There are many notorious groups of crackers-pirates who crack almost every game that comes out and greatly reduce actual incomes of the companies-producers and developers. The multimillion industry of entertainment is continuing to suffer from heavy losses because of piracy and this is soon going to change as new anti piracy laws are getting implemented.
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Piracy Thread - Necessity of Strong Anti Piracy Laws