ANALYSIS – This ZeroPaid article projects some fairly aggressive growth for the use of P2P technology and in most markets, a 400% increase would be somewhat uplifting, particularly in this dismal economy. You see, 400% growth usually means increased revenue, profits, jobs etc. But in this case, 400% growth is not surprising and unfortunately, it does not mean more profits revenue, profits and so on. Several reasons may account for this. First off, P2P filesharing users would not appear to be the type that would respond to internet ads, which is the primary revenue generation mechanism. Other possible sources of revenue might be premium, subscription based versions. Again, not likely to generate interest in the P2P crowd.
To their credit, the P2P vendors are trying to go legit by entering the licensed streaming media markets, but currently, the bulk of the 400% increase is most likely going to come from filesharing usage. And buried deep inside that 400% increase will be illegally copied music and video and the associated letters from the RIAA, countless personal and confidential documents, social security numbers, credit card numbers, and maybe even a few tax returns — yet another reason, and possibly the worst one yet, as to why 400% growth is not a good thing.
Click here to view the ZeroPaid article.