The main point was that these businesses sought alternative models to generate revenue, and they were successful. Software, after all, was once considered much as books were: a product that you bought off the shelf. Of course there was experimentation early in the game. Developers gave away fully or partially functional versions of their software in hopes that people would buy it (shareware) and businesses serving corporate markets sold support (in the early days, consumer products usually came with free support).

True and false. Entertainment is usually considered timely, which is why people pay more for newly published books and why people pay more to see films when they are released in cinemas. There may be ways to take advantage of that. Maybe publishing will return to serialized stories, something that is released regularly (so you always have that just-released flavor) and that people can reasonably complete in one sitting (so there is more incentive to read it when it is just released). When you think about it, we already know that model works. Many people buy books that are a part of a series or come from a favored author's keyboard. We also see that model in television series, and it seems to work quite well.

Or maybe the difference will come in how books are delivered. At the moment, we buy/sell particular titles. Maybe we should be considering subscription services to compliment it, much like you get television or music or magazines through subscription.

Piracy and entitlement was always an issue. At one time it was VHS. Before that we had audio cassettes. I've even seen a device to replicate vinyl. Then there were scanners for books. Prior to that, photocopiers. Yet the 'information economy' has yet to collapse.

I think that there is a reason for that. It is mostly a certain part of society that holds certain values that does all of that replicating, and most of those people end up growing out of those habits.

In an absolute sense, both philosophies are wrong. Which you sort of alluded to in the repeat business part. But I think it goes a bit deeper than that. Just as the customer needs the business to provide what they need, the business needs the customer to buy their stuff. If both sides aren't addressed, the relationship rapidly collapses and neither one's needs are being served.

It is also important to consider that most of these customer-business relationships are there by the agreement of the customer. Consumers don't need books. Consumers don't need software. Consumers don't need music or video or electronics or most of the other services and material goods that fill our lives. In the cases where we do need those services or material goods, we can usually carry a good part of the burden ourselves but we simply choose not to. Families used to cook all of their own meals, sew most of their own clothes, create their own entertainment, and even produce some of their own food. The fact that we have created a society where we consume the work of others doesn't mean that we can't return to those old habits (though most would find it unbearably difficult since they don't possess the skills and would have to give up things that require sophisticated manufacturing processes).