There's a difference.
If you walk in a store, and steal a game, you are stealing something that could've been sold to another guy. This makes the shop lose money, as they just lost a game that could/would've been sold to another person.
When you download a gba game, you are downloading an electronic file. You can download the same file tons of times, no one will lose any money of this. You could argue: "I was not planning to buy the game/program anyway, I wasn't a potential buyer, so they lost nothing."
This of course doesn't mean I promote illigal downloading.
As a matter of game industry. In earlier times, gaming wasn't popular, and games had to be good (with limited resources) to sell well. Also, genres weren't made yet, and people where inovating.
In modern times, gaming is so popular and the industry thinks: "Don't care if it's good, put a brand on it and we have $$$ in our pocket's."
Inovation rarely happens, the most important thing is graphics, and industry spends more money on artists then they should.
Now, a lot of movies get videogames. The people who order the videogame to be created don't care. They just want it to sell. "The game has to be finished in 6 months".
Once a successfull game is released, a sequal has to be made. (Madden 06, anyone? Same game, same graphics, different stats. It's a win win situation for everyone!)
I don't say sequals are bad, but a good one that follows up the original one good rarely happens. It's a society were everything turns around money... It's one of the reasons why we end up emulating older systems: Good, inovating and fun games.
Edit:
And by the way, there are plenty of things wrong with the modern games industry. for example the stupidly ridiculously overpriced games which makes gaming elitist, and means many people, espescially younger people at which games CORPORATIONS market the games, genuinely cannot afford the experience.
Right. Games are commerced to each age with their own spiffy ad: "Do you want to be cool and rule your buds", "Fit in society and be special", "Bring up those old memories of the arcade halls"...
Buy a cellphone game, get 2 sms' weekly that cost you a dollar., whereas the only way to get off it is to send another sms that costs a dollar.
Modern games cost near 70 dollar, pure crap at that price, try and beat it.
But then again, society asks for it. People want fps, they get fps, they want stupid fighting games where the point is to kill eachother as bloody possible and where a normal game lasts an hour and half? They get it.
'Tis a shame, really.