The only issue seems to be that any reasonable bill to do anything will be hated and immediatly stomped down. We have to eventully deal with piracy before it becomes an actual issue.
It's really not that big of an issue or at least one that Congress can take care of.
1. Companies do lose some revenue because of piracy, but that assumption that every single pirate would pay if piracy was not an option is ridiculous. A chunk of those people would simply not view the movie at all. So, in that situation nobody really gets hurt because either way the studios or artists would not make money of the person.
2. Companies in some cases make revenue because of piracy. Sites like Youtube and Megaload do contain pirated material, but it also serves as a medium for promotion. There are several bands that I first heard about on Youtube and now I own some of their CDs. There are also some people that illegally downloaded those songs, but they are the same people I mentioned in #1.
3. How exactly are you suppose to find someone guilty of piracy on a mega site like Youtube? Youtube has no way of watchin' every single video and pirated ones will get through. However, many of those videos fall under the FAIR USE Act and how are we suppose to give those people a fair trial? If a company is based in Florida and wants to go after a "pirate" in North Carolina, how are they suppose to get a warrant and where will the trial take place?
4. Since a lot of the dirty work is done outside of the country the legal processes will be a mess.