Good point.. the difference between the GBA and the DS is that on the GBA you used to be able to emulate the GBA 1:1 and play games perfectly, so all you needed was your computer.
Now with the DS, people do kind of the same thing, except that they have to buy a DS console to actually play the games... see what I mean?
Still doesn't justify piracy, but at least Nintendo makes more profit off console sales.
Well... The DS is currently being emulated at, let's say, %35. In a year time, probably and if it keeps the current pace, it will be around, let's say again, %65-%75, if not higher. It's a matter of time before it reaches said 1:1 emulation. The same happened with the GBA: there was a time were most games run at %50 speed. I remember playing Wario Land 4 on VBA about 6 years ago, with frameskipping and stuttering. But still, anyone now can now download a GBA ROM, VBA/No$GBA and play the game at full speed with no troubles at all... and sometimes even better than they would in the actual console.
'Nintendo is clever because they make huge profits with the DS hardware sales' is a half-true. First of all, as I already said, it's a matter of time before we achieve perfect emulation, thus rendering that 'argument' completely untrue. Moreover, you can always buy a second-hand console, from which Nintendo gets no profit. And, on top of that, if you need raw monetary value, €150 for a DS < all the money the company 'loses' with ROM downloads. It's as simple as that, although, to be truthful, Nintendo's market won't die because of piracy.
So, to sum up, mark my words: give emulation a year time. We'll see if what happened with the GBA doesn't occur again. It has happened to almost every single console ever: from the Amiga to the Atomiswave, including the Dreamcast, the NES, the SNES and, obviously, the GBA. I still don't see how a flashcart can be such a devastating threat to a company, but we don't take into consideration other 'threats', like emulation and the second-hand market. Because, and let's face it, GBA flashcarts have been around for AGES, but emulation has always been more popular. Maybe nowadays we see everyone talking about their R4s and CycloDS', but that's only because those are the best options. As soon as something free 'hits the market', most of those who don't have a flashcart will instantly try to get it.
Bah, my two cents on the matter. If you saw the video I posted earlier you'll realise that piracy has been a 'threat' for the industry old as the industry itself... but still, they keep coming with garbage like Horsez and Masterpieces like DQM:J