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New Pirate Bay Owners To Distribute Legal Content,
by Ulrika Lomas, LawAndTax-News.com, Brussels
Friday, July 03, 2009
Global Gaming Factory (GGF), the new owner of The Pirate Bay website, has announced
that it intends to launch a new business model that will allow content providers
to be compensated.
While GGF, which paid SEK60m (USD7.68m) for the notorious file sharing website,
still wants to make copyrighted material available to users for free, rights
holders would be paid from advertising revenues and other sources, such as charging
internet service providers to help optimise their traffic; the company says
that allowing songs and other files to be shared legally over one of
the largest peer to peer networks would take considerable strain off ISPs’
servers when new content is released.
"We would like to introduce models which entail that content providers
and copyright owners get paid for content that is downloaded via the site,"
said Hans Pandeya, CEO GGF.
”The Pirate Bay is a site that is among the top 100 most visited Internet
sites in the world. However, in order to live on, The Pirate Bay requires a
new business model, which satisfies the requirements and needs of all parties,
content providers, broadband operators, end users, and the judiciary. Content
creators and providers need to control their content and get paid for it,” he explained.
Pandeya also said that file sharers need faster and better quality downloads,
and to advance this, GGF has entered into an agreement to acquire Peerialism,
a software technology company created by the KTH Royal Institute of Technology
and the Swedish Institute of Computer Science, and which develops data distribution
and storage based on new p2p technology.
“Peerialism has developed a new data distribution technology which now
can be introduced on the best known file sharing site, The Pirate Bay,”
said Johan Ljungberg, CEO of Peerialism.
“Since the technology is compatible with the existing it will quickly
allow for new values to be created for all key stakeholders and facilitate new
business opportunities,” he added.
GGF sees the acquisitions of The Pirate Bay and Peerialism as a huge opportunity to cash in on free, but legal, downloading, and believes it will, as a result, have a "strategic position in the international digital distribution market."
“File sharing traffic is estimated to account for more than half of today's
global Internet traffic. The Pirate Bay has a global brand and holds a key position
with over 20 million visitors and over one billion page views per month,"
Pandeya observed.
The four men behind The Pirate Bay were found guilty of being accessories to
copyright infringement by a Swedish court in April. They were each sentenced
to one year in prison and ordered to pay SEK30m (USD3.56m) in damages. However,
the ruling is under appeal.
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