I think the whole problem is the internet.
I remember back in the day when you used to be able to get the cable "Cheater" boxes that allowed you to get all the 6 or 7 of the movie channels for free.
The whole problem back then is that you had to know someone who knew someone who sold the stuff.
Today you just go on the internet, in a few minutes you can usually find someone selling what your looking for, or can provide information on where you can get parts to build it such as on ebay
You can replace the encryption device, but you got so many people online trying to get free television, someone will find a hack for whatever comes out.
If Dish wants to get rid of their piracy problem, they need to get somthing thats harder to crack then Directv and then all the pirates will focus on Directv.
The only good thing both providers have done is come up with the leasing model, making it harder and harder for Pirates to get actual Dish or Directv equipment in large quanities. Thats why over the past 3-4 years we have seen so much knock off FTA crap come on the market.