MGM is Metro Goldwyn Mayer. They make the James Bond movies. Also popular for The Girl With the Dragon Tattoo, Clerks 2, Stargate, and Jeepers Creepers. They're making films again after a MASSIVE restructuring. In which a LOT of people lost their jobs and they're at a much slower production pace.
I'm not saying Blockbuster wouldn't have gone out of business anyway, but they DID have an online service that was cheaper than Netflix's. They WERE slow to the game, but if you're going to temporarily rent a movie or watch the same one online for free, which would you choose? You can't say that it didn't hurt THEIR business too because Netflix didn't take it ALL away.
The video, was an independent film maker that was noting how much her SMALL movie was pirated and downloaded. She has another video where she rattles off figures that are ASTOUNDING. And that's for some small movie that wasn't marketed to televisions everywhere.