Source code surely is manufactured. I write it with my hands, using years of knowledge and experience, spending a lot of time on it.
Right. We not only write it with our hands, but with our brains too, as well as with the effort we put in over years to gain the skills needed to write the software in the first place. Otherwise any newbie programmer could write any of the software in the world, including complex ones.
This reminds me of that story of a senior retired engineer who was called in to diagnose a problem with some expensive, complex machine that he had worked with or operated a lot earlier (and/or maybe had invented). He walks into the room, bends down near the machine, taps it a bit, then makes an X mark with chalk near the bottom left corner. "There's your problem", he says. They open the machine, check that area, and sure enough, the fault is found and fixed. They ask him what his fee is. "$50,000", he replies. "What?", they ask. "$50,000 for making a chalk mark?". "No", he says. "$1 for making the mark. $49,999 for knowing where to make it."
In order to pay for your software development services and turn a profit, the digital goods you produce are made artificially scarce so as to enable their sale. However, that does not change the nature of those goods. Copying them is still trivial.
That is not true. Running, maintaining, etc the IT infrastructure is costing money, electricity etc. It doesn't come for free.
But you are right on the principle : storing, copying and transferring data always costs energy (in physics, temperature, energy and change of entropy are linked together)
¹ https://en.wikipedia.org/wiki/List_of_best-selling_video_gam...
If we have 400 W sustained for one second, that equals 0.000111111111 kW * h. (400 Watt * second) * (30 cents / kWh) = 3.33333333 × 10^-5 U.S. dollars. In Hawaii, that one copy would cost $0.0000333333. If one were to make 100 000 copies of that same data, it would cost $3.33333333.
¹ https://www.electricchoice.com/electricity-prices-by-state/
Copying data is a fundamental operation that all computers are able to perform and it costs nothing. Therefore, data is naturally easy to copy.
Software doesn't need to be manufactured like physical goods do: the software construction step is fully automated by compilers and build systems. The cost of all this is approximately $0. Networks aren't free because of bandwidth costs, but they still make it really easy and cheap to copy data to a lot of computers.
Since games are software and software is data, it is rather easy to distribute them to an unbounded number of machines. Even if you come up with some complicated copy protection scheme, people only need to crack it once and produce a DRM-free version of the game that will work everywhere and won't do stupid things such as require an internet connection. Even cryptographically secure platforms such as the PS4 eventually got cracked and the first thing people did is enable the execution of unsigned software.
>insisting that reality should be the way that fits nicely with my arbitrary mental models
That's exactly what copyright does.