>They'll just copy it, much like they do now. See all those torrents? Oh, that's obviously people copying things they hate!

That was my point. Duplication has become easier and easier over the years. Currently it has become nearly effortless, yet there are more creative works produced than ever before and there is more money made from them than ever before.

>Live performance of software. Good one!

No, but sending your data to a firm where operators enter it into their program and send you the results (sounds impractical? Enter the internet and web services). Or hiring programmers to make a certain program for you.

>Let's have book-reading parties too! And we'll get rid of movies and go back to opera!

If I read a book the author doesn't have to read it to me. If I watch a movie the actors don't need to perform specifically for me. There is no extra work involved for them.
Where is the difference if I don't buy something because I've heard by word of mouth that it's atrouciously bad, or if I've read/watched it and don't buy it because it's atrouciously bad?
The current model is a bet that your product is good enough to make a profit through sales.

>And what if someone ignores an OSS license, incorporates it into another product, and doesn't return anything? Maybe like CherryOS or Sigma Design?

Same answer. Tough. The GPL-like licenses rely on the same flawed idea of copyright as proprietory software.