Now as we are talking about piracy of video games we must be aware of what exactly is piracy. Piracy of video games is the unauthorized copying and circulation of video game software. So, when a video game software is copied, then, the original version of the game and the pirated one is the same and this is a serious loss for the video game developer. Through Downloading the pirated version, people play those video games without paying for that game, and in this manner, the developer has to suffer and is also bad for the gaming industry.
People pirate video games mainly because of the reason that they cannot afford to pay a large amount of money on video games. Students or even the youngsters who just have a certain amount of money with them think of pirating video games as they have a good liking for playing video games.
Also, it has been seen that people have a thought that if I am downloading the pirated version as if I enjoy playing this game then only I will buy the original version of it. One more reason for the piracy of video games is that some games are not allowed for a certain age group. They cannot be obtained legally, so people pirate those video games. There can be various other reasons depending on every individual as to why they prefer the pirated version of video games.
Piracy is somehow affecting the gaming industry because if you look from the developers viewpoint then it would be very annoying for him to know that people are not using the original version of the video game instead are using the pirated version. If people download the pirated version of video games, then this way the video game industry would have to suffer a lot as it would reduce sales. But, if we look from the other side of the story it can also be seen that if we overlook the sales loss of those video games, then the good part is that if people download the pirated version of the video game and more users using that video game would eventually make the game more famous. By this the video game would gain more popularity and hence, would increase its sales for those who do not use the pirated version and instead believe in using the original version of video games. So, indirectly the gaming industry would benefit through this.
If we are talking about the small developer's, then for sure piracy of video games can bring their business to an end but if talk about the large companies, then they can manage the loss.
It's totally upon your viewpoint. As explained above that if people use the pirated version, it can also enhance your sale if users like the game and the different creative ideas you have used in it.
Let's take an example of the game Witcher 3, this game was released and so many pirated copies were released because it had no DRM. Also, the game developer sold its copies to pirates, but after playing it they also decided not to sell the pirated version. You might be shocked to know that a million copies of this game were sold even after the piracy of this game.
If your game is worth spending that much money on, users will surely buy it. Everyone once thinks before buying something and has a thought "if this is worth spending? " And if one thinks it is worth the value, we surely buy it. If your game has that much interest and has all that a user finds in a perfect video game, then sure your video game would have a good sale and will benefit the gaming industry.