Larry Magid: Netflix Up, Pirating Down According to Study

SAN FRANCISCO (KCBS) — Netflix and YouTube have both become so popular that the two account for half of all internet traffic, according to a new study.

The study from the networking equipment company Sandvine also found peer-to-peer file sharing is dwindling as video streaming appears to be becoming more popular than ever.

It appears that people are pirating less or at least that they aren’t file sharing as much as they used to. I should say there are legitimate reasons to share files, but oftentimes it is used for pirating video and audio.

The increase in video streaming is good news for the entertainment industry and obviously it’s very good news for Netflix. This also creates potential problems for the internet service providers like Comcast or AT&T, for example. They have to carry the load of all the traffic.

If you’re downloading streaming video content from your mobile device and still paying for data, that’s a costly problem. Since a typical mobile service might come with two gigabytes a month, you can’t download more than a movie or two without having to pay overages.

Netflix Up, Pirating Down According To Study

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