Dick Doyle, director-general of the Irish Recorded Music Association (Irma), said they would pressure the Government to reform the law in favour of record labels.
"The High Court has acknowledged that Irish artists, composers and recording companies are sustaining huge losses and internet providers are profiting from the wholesale theft of music," Mr Doyle said.
"The judge made it very clear that an injunction would be morally justified but that the Irish legislature had failed in its obligation to confer on the courts the right to grant such injunctions, unlike other EU states.
"We will now look to the Irish Government to fully vindicate the constitutional rights of copyright holders and we reserve the right to seek compensation for the past and continuing losses from the state."
Irma chairman Willie Kavanagh said: "We are extremely disappointed that the High Court has effectively determined that the Irish State has failed to protect the constitutional rights of copyright holders, by failing to implement EU copyright directives correctly."