Game publishers need to come to the realization that pricing is always going to factor into piracy. You can classify game consumers in three categories:
1. People who will always pay for the game because of the legality and their morality.
2. Pragmatists, who will generally pay for something if convenient for them and they are convinced it is both the best and easiest course available, and
3. Pirates - those who will virtually always pirate software except in very specific circumstances.
Groups 1 and 2 are much larger than group 3. Right now, most publishers implement DRM to stop group 3 and more-or-less ignore groups 1 (who they know will always pay), and 2 (who they figure are really just group 3 members in disguise).
Thing is, 2 is the largest group of the bunch. Publishers piss off people who would otherwise buy their games through outrageous pricing and draconian DRM. Why should we pay large amounts of our disposable income, Group 2 asks, for your software when you make us jump through hoops and put up with terrible DRM, but we can get games WITHOUT the hoops, DRM, or cost simply by pirating your software?
Game publishers don't get that... or most don't. I suspect the sad fact is how many people making the decisions concerning DRM don't have technical understanding of how ineffective it is (given that every major release is cracked within 24 hrs of release), and don't understand their behaviour is actively encouraging piracy.
Valve is one of the brighter publishers with Steam, as they've turned their DRM scheme into a content-delivery, social networking, and multi-game platform. EA is stepping into the game with their new platform. Steam has shown that many people are willing to put up with mildly intrusive DRM if there is a net benefit to the service. Other publishers would do well to learn that lesson. Valve has also shown that you can reduce the price point of games on your content-system and actually increase your profits because of the effect that has on sales (Robin Walker gave a good presentation on that subject when talking about why Steam runs such massive and frequent sales a few years back. This is partially why TF2 still has such an enormous online following, which was bolstered even more by making it free to play).
Piracy is not something that will ever be 100% preventable, but publishers could make it irrelevant by targeting their marketing and technical limits to Group 2, instead of focusing on hardened pirates, against whom their efforts are usually ineffective anyway.
TL;DR: The solution to piracy is innovation in marketing and public relations, not technical counter-piracy measures.