Crime pays….? $4.8m to be precise

http://www.guardian.co.uk/technology/2009/jun/30/pirate-bay-filesharing-sold-music-downloading

Whilst the founders of the Pirate Bay were recently fined $2m and sentenced to a year in jail a Swedish software company, according to the Guardian, has bought the site for $4.8 and intends to legalise its offerings in what is being dubbed as its “Napsterisation”.  Whether it will be possible to convert the reported 20 million monthly visitors into legitimate paying customers is one thing, but what is clear is that the notoriety and publicity surrounding the case over the last couple of months has added a huge amount of value to the brand and this was reflected in the price tag. 

The record industry apparently made a “cautious welcome” to the news.  But Pirate Bay’s 20 million visitors a month suggests the record industry needs to be more proactive about alternative business models rather than just pushing for stricter copyright enforcement. 

Read the lead link to the Guardian article for more details on the sale.