Making Money with Piracy

In the Power of YouTube and the Money of YouTube I blogged about the legal way to make money in the internet. The possibility with videos and online marketing.

But we all know there is a “dark side” of the internet.

“The Piracy” or the “Black Market” Sites.

Here you can find Movies, Series, Music, Games etc. and they are all for free. A huge pain in the a** for all the Entertainment companies.

By the way I stumble about a study of the Swiss government about this subject, that i found quit interesting / funny.

But that should not be my topic for this blog post. This blog post is about a question my little cousin raised, a question that I never really sort about.

Why do they make that? Why people offers illegal data for free? Why risking been charged or anything like that?

Ellen Seidler wrote a nice and explaining blog post about this subject.

So what is the purpose?

In Ellen Seidler opinion this whole piracy is driven by one thing

“…the thing that has motivated mankind since time began—the desire to make money.  “

And she states that with some good evidence.

Let me explain what I have learned from her blog post and with self experience. If you want to download a file on one of these special sites, easy to find on Google etc., you will always be getting a link to a file hosting service like Filesonic, Fileserve, Rapidshare, Mediafire, 7x.to, etc.

This hoster provides you than with the chosen file, which is called, if it is illegal, Warez.

But where is the money?

And now we come to the question >Where do they get money from?<

If you are an Uploader to one of this file hosting sides, you get money from downloads. So simple is that.

Ellen Seidler adds to that “Simply put, the more downloads you generate for your file, the more money you earn.”

But, why?

Because this hosting sides depends on traffic to make money. And with this money “reward” for the uploaders, they want to encourage their user to share their files.

So how do they turn traffic into money?

I will give you one simple word Advertising. With that they make the big money.

They also generate money from offering premium accounts, in which user has high-speed and parallel downloads and so on for a fee.

And that all brings me back to the sides, which provide this links. These sides are often relate to one of this file hoster, so that they promote, by often use their site to store warez contend.

This sides make also money, like the hosters, throw their advertisement.

Please feel free to leave comments, if you want to know more about this subject or if I let something out that raised your interests.

Advertisements