I suspect we are more likely to see splinter DNS networks get set up and people will just learn how to add these servers to their configs for name resolution...

Can also see a future where the public Internet is deemed completely untrustworthy and everyone just connects with trusted parties over VPNs....

EDIT: I'd forgotten about these: http://en.wikipedia.org/wiki/Alternative_DNS_root

I suspect even more that nothing will actually happen. People know there's risk in running torrent sites, they bet the ad revenue will outweigh it and eventually they lose.

Yeah, then the Internet could route around the damage, as designed.