The video game emulator Yuzu circumvents encryption on Nintendo Switch games, making them available on other platforms like personal computers and mobile phones in violation of the Digital Millennium Copyright Act, according to a lawsuit from Nintendo of America Inc.
"NEW: Nintendo is suing the creators of popular Switch emulator Yuzu, saying their tech illegally circumvents Nintendo's software encryption and facilitates piracy.
Seeks damages for alleged violations and a shutdown of the emulator.
Notes 1 million copies of Tears of the Kingdom downloaded prior to game's release; says Yuzu's Patreon support doubled during that time. Basically arguing that that is proof that Yuzu's business model helps piracy flourish."
I feel like a large number of the people pirating wouldn't have bought the game even if it was their only option. Then there's people who pirated and bought the game both. Unrealized profit is not the same as losing money.
But the IP lobby sucessfully got that idea to the courts. In my country if you are caught torrenting a series episode just for 10 seconds, the courts accept the idea, that you spread like a hundred copies of the IP to people who would have definetely bought it otherwise, so you now owe the IP holder 1000 €.