Eh, this is kind of different though. It's an issue of "What gives a purchasing bloc of three or four friends the right to pay the same amount as any one other person, while still obtaining the same individual value for each of them". Books, too.
What gives them the right? The concept of property. The right of first sale.
Let me bold this so it's clear:
I am arguing AGAINST the right of first sale for creative works. I'm arguing a distinction between creative consumables and physical property. If you remove the right of first sale, can you still build an economy that's fair to the consumer? I think yes, the tricky part is deciding what's "fair". Before you complain too much, the right of first sale and the things it contains are arbitrary, too--just because you're used to them doesn't mean they're the end-all be-all of contractual theory.
Anyway. In this hypothetical situation where Alice buys a game and Bob makes use of it, I'd like someone to pinpoint exactly where it STOPS being piracy on Bob's part:
I won't, because there is no such point. Piracy is an arbitrary label to name some actions made by the user which are undesirable for the distributor. You can put the border wherever you want. Point 1? Point 11? Never mind, you're still right and still wrong.
Fine, then where's your moral boundary, your personal moral boundary? Where do you start feeling like you shouldn't be doing it? Hopefully that point isn't "buying a game, cracking it, then putting it on BitTorrent for all the world to have". Which is basically point 1, up there, but expanded to a wider population. If you're willing to do it with one person, why not five? If you're willing to do it with five people, why not a hundred?
As for 'watching a movie with whoever' or 'playing a game together on the same console using two controllers', those are pretty firmly established as okay. Though it would be interesting to contrast 'two players on one console' versus 'two players on two consoles', yeah.
Last when I checked, sharing books (or movies) was also considered okay. And those cases also appear unethical if you use the same logic. Why shouldn't the distributor get the money for your girlfriend if you happen to watch the movie with her? She will most likely not watch it again, thus depriving him from a part of his profit. Why should she get for free something that she should usually pay for?
Hmm. That's actually a sticky one, yeah. I think you would want new laws to codify some default contractual rights that you get when you buy these non-resalable works. The right to private performance is an obvious one to include, and it covers this situation...but it's similar enough to the other cases that it's not obvious where it stops.
A "right to private performance" seems like a pretty good place to go from here, actually. The consumer can make one instance of a work available at a time, at his or her location, usable noncommercially by a reasonable number of participants. That is exactly what you can do with a DVD or a console game right now, so it's a good baseline to keep. It includes multiple-controller console games, but doesn't include four copies of Halo on four TVs, and it doesn't include charging money at your home theater.
But for this, it's firmly tied to you as the consumer. You can't let someone -else- use your right to private performance at their own location with their own friends, your copy has to stick with you.
Now as for movies, they already say that 'not for public performance', so I'm sure you already know there's a difference between watching it with a friend and showing it at your own homemade drive-up theater.
There's not. Both Netflix and Redbox, for instance, simply bought up DVDs wholesale and rented them out dirt cheap. This was 100% legal for them to do. The MPAA didn't much like this, and started threatening the licensed wholesalers, trying to stop anyone from selling to Netflix or Redbox. Eventually, both caved in and signed a contract with the studios themselves not to release new movies until they'd been out on DVD for over a month, in return for getting them cheaper/getting streaming rights in the case of Netflix.
Well, rental and public performance are different (although that is a good case study for rental). Public performance is specifically (as I understand it) about showing it on a wall for a few hundred people, broadcasting it on TV, stuff like that.
...Hope I'm not ruffling too many feathers here, this is a neat position to be arguing.