It is very similar to companies like Google and other internet companies. When you go and search on Google you don't pay for that. But sometimes you click on an advert and Google makes money on that.
Some Internet operators are concerned that video services such as Netflix and YouTube consume lots of the bandwidth on the network. While there is some truth to this, my guess is that the operators wished they could provide the same kind of services with the same success as Netflix and YouTube.
Then people started using it more and more and it became the most downloaded software on the internet.
Look for when the environment is changing - the big shift now is mobile Internet. It's really happening big-time. The way you interact with services on a smart phone compared to the Web is quite different, so there's a huge opportunity.
And the VCR did the same thing: the movie industry thought nobody would ever watch movies any more.
With our work at Kazaa, we began seeing growing broadband connections and more powerful computers and more streaming multimedia, and we saw that the traditional way of communicating by phone no longer made a lot of sense.
As an entrepreneur, if you're the originator, you need to be faster than ever.
In fact, we just surpassed our first 1 million simultaneous users online.
When radio stations started playing music the record companies started suing radio stations. They thought now that people could listen to music for free, who would want to buy a record in a record shop? But I think we all agree that radio stations are good stuff.
