Music, Films and TV Program producers and distributors are embracing digital media in a big way but are fighting simultaneously to protect their present channels also. They know that their models have to change as cost of duplicating content and transmitting it has come down drastically in the internet world. But as yet, they have not found a solution that is destroying their current margins and profits. Files can be more easily shared on internet and banning file sharing through agreements is a not a real solution. That is where free website models have done great service to the society.
There needs to be technology that does not create a file when transmitting film, music or tv program on internet. Then a subscriber can only watch a film on his computer and can't create a file and transfer. But such a technology is not there and people are downloading YouTube videos.
The Films association of America is trying to get into an agreement with Internet Service Providers to monitor users' file sharing and penalise them for sharing files with copyright content.
Read Wharton's article for more details