Encryption really doesn’t work that well with media that is meant to be viewed by consumers. Since people who paid for it have to be able to use it, the system that lets them use it has to decrypt it. Then people can look at the system and figure out the algorithm and keys it is using for decryption. Or intercept the decrypted data.
The fact is, not one power has what it will take to regulate the internet. Pirating has become to big to be shut down. When Napster was shutdown, the US thought they had won and left it at that. If they had continued their fight, they might have had a chance to stop pirating (but even a slim one at that). Pirating has become to deeply trenched in the internet to be simply removed or stopped. Too many people enjoy getting media for free. Regardless of any actions taken by some US government, the fact remains that media will be pirated and distributited illegally. Drugs have been illegal for many years now and I don’t see suppliers having a hard time distributing them. If there is a demand and a market, even an illegal one, there will always be someone else to step in and take up the slack.
-Ashure