Music Downloads

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I was responding to a discussion and it brought me to my own question. Everyone knows that downloading music is illegal. Yet, people are still able to do it through popular companies. Every so often if you're not careful, a lawsuit comes w/ the song. Now, if it's so illegal, then why don't they stop limewire, bearshare, kazaa, all these companies from letting people do it? why not have them pay for each song or have a membership? I understand that kazaa has some sort of program where you have to pay for certain things, but you can still get songs for free. When people get lawsuits, they get fined per song. A single mom is paying close to $40,000 for about 12-15 songs. that is over $2500 per song. That's pretty serious. But not enough for the government to stop the companies from allowing it to happen. Does this sound strange to anyone else?