[dartharva]

Gaben's comment is related to how you can curb the effects of piracy by making games accessible and easy to install, which Steam undoubtedly does. There will obviously be people still not willing to pay who pirate games, but these were never a marketable population anyway. By improving your services you reduce the relative appeal of Pirate sources for the actual target population of these games, i.e. people willing to pay.

Piracy often wins in cases when it provides a vastly superior experience than official channels themselves. A LOT of today's AAA titles end up giving a massively better experience in Pirate releases than in official ones - Assassin's Creed and Far Cry series, Bethesda's Doom and Wolfenstein series, the Mass Effect series, Rockstar's GTA series,... the list goes on and on - plainly because the official releases are so insufferably bloated and ridden with consumer-hostile designs. Piracy is indeed a service problem. Ensure your services are good and people won't turn to Pirate releases anymore.