They have already addressed it. You can watch TV shows for nothing on Free to Air, or for a small fee in regards to subscription TV like Sky and Virgin Media in the UK. You can stream it on services like Netflix or Amazon Instant video or you can buy series on iTunes for a few quid an episode.
The problem is torrents are free and easy. Why pay £10 a month for Netflix when you can just grab the torrent?
I'm not saying 10 year jail sentences is the right thing but what are they supposed to do, let people get away with something that is clearly illegal just because 'everyone does it'?
That's not what I'm saying at all and I understand that a lot of people do it because it's free and easy. It has been ingrained into people since the days of Napster that music, television, and film has essentially been reduced in value - in terms of ownership - for a lot of people. The problem with Netflix and Amazon is that their selection is terrible bar a handful of films and TV.
In the UK currently Netflix is dogshite. However, if you want to get a torrent going you need to go via VPNs etc or stream in low quality. If Netflix had a great selection of films I would feel the need to circumvent the system less.
When I was able to use VPNs to watch stuff that wasn't available in UK (loads of anime and documentaries and films are available via Canadian/US/German Netflix) and it was easy for me to get to that content I didn't pirate nearly as much.
I think the cycle of TV/theatrical release to DVD/streaming service needs to be much quicker also. Prices need to come down to watch films in theatres is also a part of this.
The people who consume the most media generally have the least money as there are less entertainment (outside of media) options available. I'd love to go out to shows, bars, gigs, holidays/trips, etc a lot more but unfortunately I have to limit my spending.
This is all subjective obviously
Edit - Also Sky TV is silly expensive to get, as is Virgin Media. For Sky I'd need a dish or via the online service pay 3-4 separate fees to get TV, Film, and Sports. Virgin dices up the channels so you have to combine your packages to up to like £100 or something per month.
End of the day, pirating isn't inherently hurting the Indy, the small time producers of content as they need other ways to engage their customers anyway. It's hurting the large companies who distribute globally. I'm not pirating electronic musicians or punk bands, but something from the powerhouses like Disney and Warner Brothers. And I will always be of the opinion that if I truly like something I will buy it, why wouldn't I?