When it comes to piracy, Berth Milton -- CEO of the Private Media Group, one of the largest adult entertainment companies and the first one that’s publicly traded on NASDAQ -- isn't quite as anal as some of his colleagues in the gaming, music, and film industries.  He says that the entertainment business is looking at unauthorized downloads in entirely the wrong way.

In a market saturated with stiff competition, Milton says that there's nothing dirty or nasty about illegal downloads; they often lead to legal purchases when users experience and enjoy the product.  He states, "We will be extremely happy the more people are pirating our content and the more they look at it."

He said that media copyright watchdogs' attempts at stopping piracy are doomed.  He comments, "I think it’s a lost battle.  I look at my own kids, because that’s the best way to know where the market is going. It doesn’t matter if I tell them that it is illegal to download. As soon as they close the door to their room, they download.  They are not afraid of someone who’s tracking their IP-address. They just don’t care.  It’s a new world and we have to accept it."

Under Milton's leadership the company is looking to penetrate new markets geared towards turning piracy into profits.  His company is increasingly retailing luxurious vacations with an adult theme, sex toys, and other sex tools to help viewers relive in real life the escapades they see in their pirated videos.

Milton's approach stands contrary to that of the much of the entertainment industry that looks to whip the unruly internet user base into submission.  U.S. Vice President Joe Biden recently compared piracy to breaking into the fine jewelery story Tiffany's.  And the music copyright watchdogs are pushing hard to implement prison time for those who share music.  One film maker recently said that he hopes that even the children of pirates end up in jail.

Piracy isn't the only topic to get the industry all hot and bothered, though.  Recently copyright groups have fought to outlaw making backup copies for personal use and used products, which one game studio chief remarked was as bad as piracy.

Ultimately, Milton appears to be right, though.  The pirates perpetually seem to come out on top, releasing new tools and growing in numbers.  As one University of Utah law professor puts it, nearly everyone in the nation today engages in copyright infringement on a daily basis, if you consider the law's strictest interpretation.  

Milton's logic seems simple -- customers will pirate, but are still more than willing to blow a load of cash for appealing products.  And he may well be right; a recent study showed pirates are biggest legitimate purchasers of music, on average.