This has less to do with piracy, but more the "PC gamer" mindset vs the "Console gamer" mindset.
In general, PC gamers, especially those that have been gaming on the PC for more than a decade or two, are pretty smart people with pretty high expectations. The remember thick manuals, inventive games, putting lots of work into building or configuring their hardware and software for their games to play, patches including both bugfixes and content for free, and more. PC gamers are hard to please. Someone on the [H] can tell if his 16x AF isn't working. We remember when games were cheaper. We remember when a $30 expansion pack put more than twice the content into the title. etc...
Since the advent of the Xbox and subsequent 360, a HUGE amount of individuals became gamers. These were people who never played Mechwarrior or Xwing vs Tie Fighter. These were people who never even had a SNES. The proverbial "Madden and Halo" gamers were born. They don't complain when games cost more, because they've never known differently. They don't complain about expensive, feature lacking day one DLC, because they didn't remember patches and "thanks" from the developer back in the day. On the whole they are young, impressed easily, and consume whatever is put in front of them ceaselessly.
There are now more of THEM then of US, so developers figured "Hey, why try to deal with these smart, irritating people when there are so many slack-jawed idiots who don't question anything we do and can't wait to extend a grimy fist full of bills in our direction"? This is why we have "dumbed down" games; dumbed down gamers!
Piracy is a lovely scapegoat, but quite simply a new breed of consumers has arisen that is much easier to control.
That hits it right on the head.