What I think bastard_op means is that more people would be more likely to pay for a legitimate services if it was a better aggregator of content. Navigating between the X services available to find 'thing you want to watch' is frustrating, time consuming, and expensive.
You appear to be simplifiying it down to only the 'expensive' aspect. And more than likely that's the primary motivator, but the other factors aren't nothing. Additionally, the customers are paying at least something for this service, so it's not free.
In this instance there happens to be an (illegitimate, but still) alternative that's easy enough for 22 million customers to have worked out how to set up, operate, and prefer.
You appear to be simplifiying it down to only the 'expensive' aspect. And more than likely that's the primary motivator, but the other factors aren't nothing. Additionally, the customers are paying at least something for this service, so it's not free.
In this instance there happens to be an (illegitimate, but still) alternative that's easy enough for 22 million customers to have worked out how to set up, operate, and prefer.