This is nonsense.
That aside, even Adobe have not really said this has anything to do with it and it will certainly still be pirated once people get their hands on it. It just won't be Photoshop CS7, it'll be Photoshop CC, August 2013 version.
If Adobe wanted to combat piracy, drastically increasing the cost of using their products for a great many people (particularly those more likely to be on the edge of being able and willing to pay for it) is not a good way to go about it. Time and time again reasonable pricing and ease of access/use have shown to be the best deterrents to pricing. Nobody likes to be price gouged and then jump through hoops to use the software they've overpaid for. Hopefully this will hurt Adobe badly and they will actually follow a reasonable path.
If anything, given how many are viewing this as hostile/negative treatment towards their customers, this may drive up piracy or abandonment of Adobe software entirely.
The thing is, $20 a month isn't that reasonable for a great many people who were version skippers (such as myself). There are plenty of people who buy every other or every two versions and Adobe used to allow that. They've been cutting back on that, now it's gone entirely. Are these people going to suddenly start paying $240 per year? I know I am not likely to consider it for just Photoshop. They may go from getting some money from many of these people to none as the either seek alternatives, stick to their old version or pirate the CC version.
Exactly, at least to the point of pricing not helping. I am honest, so I always buy my stuff. However, a lot of folks will not buy it at that price, and will pirate it. Me? I'm gonna get all the stuff together for my big project of the year, buy Premiere at $20 for one month, and Adobe will get neither the $800 that they might have gotten for a physical version, nor the $3,000 plus that they might have gotten if I subscribed for years.