Revenue go up? You pay your bills. You make more stuff people want. Everyone is better off. Good outcome.
Revenue go down? You can't pay your bills. You make less stuff even though people want what you are making. Everyone is worse off. Bad outcome.
In the end, we want more good outcomes and less bad. There is a lot of conversation around piracy's relationship to the bad outcome. But, a lot of it is armchair-CFO arguments and based on looking for excuses. People directly affected by piracy report that the relationship is either quite clear or that they have given up and don't bother fighting or even measuring it.
Should piracy be legal? Maybe? Doesn't really matter at the consumer level. There is it de-facto unenforced 99.9% of the time anyway. What matters for producers and consumers in practice is the practice of DRM. In practice, the vast majority of software work these days is on server-side products and a huge component of that is the implicit DRM aspect.
Desktop software has relatively been in a terrible lull since the consumerization of the internet. A lot of it is due to the awesome features of the interwebs. But, a whole lot of it is that it's a lot harder to actually get paid for desktop software vs server-based. It's a damn shame. But, no one knows what to do about it.