You are right. If I distribute copyright infringing content on a USB stick and sell it, I can look forward to an FBI investigation, 5 years in prison, and a fine of $250,000. If I write an algorithm to do the exact same thing over the internet, and monetize it with ads and subscriptions, I'm in the clear--as long as I can afford a staff of wagies to play copyright whack-a-mole in a somewhat timely manner.