Freakonomics notes that:
“Angelina Jolie and Brad Pitt solve a big problem-the illicit distribution of photos of their new baby-by distributing the pictures themselves and donating the proceeds to charity, thereby thwarting the paparazzi free market and potentially setting a new model for future celebrity photo ops.”
There is still illicit distribution. CNN reports that Hello! magazine, which purchased the photos, is suing various websites for running the photo.