I used to love going to the theater but it sucks now. It's too expensive, too crowded, and I don't want to watch 15 minutes of product endorsements followed by 20 minutes of spoilers for upcoming films before they get around to showing the feature.
Mr. Cameron, you say you want to "preserve the theater experience as something special" but it hasn't been "special" in twenty years. It's the entertainment industry's version of going to the airport. It's only a matter of time before they start adding backscatter body scanners and abusive TSA (Theater Security Agency) officers.
I believe Cameron isn't saying that things are good now. He's saying things need to be improved if you want to cut down on piracy.
As in the theatre experience sucks now that people don't want to go, so that creates an opportunity for pirates. Instead, theatres need to reinvent themselves to be destinations where people want to go, which would have an impact on piracy - why would I want to see it on a small crappy screen when I can see it on a large screen and everything's better.
So ditch the crappy uncomfortable seats and replace them with nice ones that won't cause your back to ache after an hour, have special no-kids screenings or adult-only theatres, serve adult beverages and even hot food service with better food, etc.
Some theatres already do that, and they're popular. They're expensive, but you're getting a movie experience free for annoyances like screaming kids, people on cellphones (you pay for premium tickets, people frown on such antisocial behavior), you can have beer, wine, champagne, cocktails, etc delivered to your seat, the seats are not packed sardine style, etc. Dinner/movie/date/whatever.
Basically get rid of the crap that people hate which drive them away from the theatre, and make it more appealing to those who want a social "night out" experience where you can enjoy a meal, a drink, and wrap your arm around your significant other.