This is more than DRM because the gamer gets substantial benefits from the online connection. Two of the biggest are easy access to multiplayer games and increased protection from hacks. Neither could be provided without the online requirement—online-only means a large multiplayer population, and protecting the server code makes it difficult to hack.
Converting a cloud game to a single player game through reverse engineering is taking what the publisher hasn’t given you, and changing it to something else—with completely different benefits. It’s not fighting DRM. It’s taking what’s not yours.
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Whats their argument against piracy of cloud games anyway? That we steal the client that wouldn't work anyway unless an *extra* application emulates B.net and thus the game? How is that even illegal? It would essentially be a new and potentially different game!
We are not even gaining access to the game they sell to "customers" in any way so we are not pirating the game at all. And clearly they don't intend to sell the version pirates want.. so what is their argument? The black market responds to demand when Blizzard doesn't.
Heck, at that point the actual game is whatever emulator database gets it to work in the first place. Essentially meaning, you can not pirate Diablo 3.