The execs do know. They just don't have options that will make as much money for their shareholders. So instead they fight a slow rearguard action.
Their time is passing. But for how long? Times X billion dollars per year.
Their time is passing. But for how long? Times X billion dollars per year.
Instead of doing this and making pirate methods obscure, they insist on wasting everyone's time and money by implementing DRM schemes that cause incompatibilities, only to be broken a short while later, and suing people, which ultimately just gives the pirate sources more time to grow and more media exposure, especially when they sue and/or force prosecution of these pirate sources directly instead of just pursuing average filesharers, a la The Pirate Bay.