Sunday, 5 July 2009

Pirate Bay's New Owners Reveal Ambitious Business Plan

The new owners of Pirate Bay, Global Gaming Factory, have revealed an ambitious plan to run the torrent site legitimately, according to a report in Business Week.
Speaking about their plans for the site, the new owners' CEO Hans Pandeya explained the site will follow a unique business model.
Users will be paid for joining the service and copyright holders will be paid royalties when their material is shared online.

The company will then pool the collective bandwidth of The Pirate Bay users into a large peer-to-peer network, and then resell the broadband capacity to internet service providers to help them cope when there is exceptional demand online.

"Let’s say a popular song comes out. Rather than a million downloads from a site, which would cause a considerable strain on that ISP, we can take that song and put it out on P2P," explained Hans Pandeya.He also told Business Week that the move could cut the costs of data traffic for ISPs by more than half.

Pandeya said: "Users will earn money by joining, which can be spent on Pirate Bay's other services, such as an expected online music store, or transferred to their bank accounts."Internet-phone service Skype uses a similar peer-to-peer network scheme.

Global Gaming Factory acquired The Pirate Bay earlier this month for £4.6m. The deal is expected to be finalised in August.

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