What is Game Piracy?

Game piracy is an activity in which people make and distribute copies of a computer or console game without authorization from the game's developer and owner of the game's copyright. Estimates about the rate of game piracy vary, with some companies claiming rates as high as 90%, while others have more conservative numbers. Concerns about game piracy have led companies to use a variety of techniques to attempt to subvert piracy, ranging from making versions of their products available for free to having complex processes to validate their products when people use them.
People commit game piracy for a number of reasons. Some people do it for profit, purchasing legitimate versions of games for the purpose of copying and selling them. Some game pirates sell hard drives or discs loaded with numerous games, so that people can purchase a large package of pirated games. Other people copy and distribute games for friends so that they can save money, or because they do not realize that what they are doing is considered piracy. For example, if a game allows people to have five copies installed and someone passes copies to four friends and they in turn pass it on, the original purchaser would have been contributing to game piracy by handing out the legitimate versions.
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I’m confident, there is nothing positive about piracy and it has huge damage to the game market, copying a game is a cheaper than buying it because the copier is making no contribution to the cost of making the game in the first place.
so,obviously, the main effect of piracy on the game industry is that software companies have to raise their prices it because these Companies have used techniques like providing automatic updates in order to protect their product.