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posted by Dopefish on Friday February 21 2014, @01:30PM   Printer-friendly
from the mpaa-and-riaa-can't-touch-this dept.

Fluffeh writes:

"The Digital Citizens Alliance has posted a new report estimating that the 'top warez/pirate sites' generate $227 million dollars in ad revenue each year in which a portion of the cash comes from businesses such as Amazon, McDonalds and Xfinity.

TorrentFreak has an interesting write-up on the report going through the numbers nicely and breaking it down. Based on an estimate of the operating costs, torrent sites are also believed to be the most profitable, with profit margins up to 94.1%. It has to be noted, however, that ad revenue is often the only source of income for torrent sites, where direct download hubs and streaming sites have secondary revenue streams through subscriptions and affiliate deals."

 
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  • (Score: 4, Interesting) by frink on Friday February 21 2014, @03:55PM

    by frink (461) on Friday February 21 2014, @03:55PM (#4379)

    And then there is this in the article:

    "Since these piracy sites rely entirely on other people's work, their profit margins range from 80 percent to 94 percent."

    And in what way is that different to any other search engine? Or SN? This very site, if you use their reasoning, relies entirely on other people's work too (overlooking all the engineering that goes into actually making the site work).

    “We hope this report pushes the online advertising community to take additional steps to protect brand value and stop ads from appearing on content theft sites that are undermining the vibrancy and safety of the digital marketplace.â€

    Yes, because all the porn ads on piratebay mirrors most assuredly have a brand to protect.

    So their goal is "The Digital Citizens Alliance will be an active voice in promoting a better and safer Internet...." I don't quite get what they mean by that aside from THINK OF THE CHILDREN!

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  • (Score: 1) by Foobar Bazbot on Saturday February 22 2014, @04:46AM

    by Foobar Bazbot (37) on Saturday February 22 2014, @04:46AM (#4691) Journal

    Yes, but since SN doesn't (yet) have any ads, subscriptions, or other revenue source, it's more like: "profit margin ranges from NaN percent to NaN percent."