No, it's also because some consumers can't pay the "original" price. Steam in "developing" countries is a classic example — you as a game developer can ask a guy from my country $60 for a game (and some companies do try that), but he will simply go back to torrent trackers because $60 is a week's worth of living expenses.

gaben figured that out and successfully expanded into many markets that were considered basket cases for software licensing.