They did, they failed and they still earned billions at that time. Why are we entertaining their sociopathic ideas now?
It's not that they're trying to stop mass distribution, they're trying to prevent you from rewatching content later (shows regularly disappear from Netflix and similar services), prevent you from showing them or sharing to their friends (does any service let you share a show from an ipad to another ipad?) or even let you watch anything when you're offline (how many services let you download their full catalog for later watching?).
It's not that they're trying to stop mass distribution, they're trying to prevent you from rewatching content later (shows regularly disappear from Netflix and similar services), prevent you from showing them or sharing to their friends (does any service let you share a show from an ipad to another ipad?) or even let you watch anything when you're offline (how many services let you download their full catalog for later watching?).