One more thing I'd like to point out for those in denial. Do you recall the Oron topic on the Digital point forum where multiple people were bitching about not having sales from 1,000 downloads as if that were highly abnormal? What does that tell you?
It suggests to me that Oron now outsells your average tube or pay site by a mile. These days people consider 1 sale for every 30,000 tube impressions "good" and here these guys are making multiple signups on 1,000 downloads.
Be in denial about what is happening all you want but it isn't changing what is happening. Another business now sells YOUR CONTENT even better than you do. Their affiliates make more sales per impression than your legal affiliates probably do now by a factor of ten at least. What do you think some of your less ethically hindered affiliates are going to do?
If you want to keep your pay site business you better start fighting more for it.