Rapidshare Turns Criminals Into Customers
On March 26, 2010, the online file-hosting service Rapidshare announced that it is currently seeking major entertainment company partners to allow the site to permit users to upload currently copyrighted material to the Rapidshare website. Rapidshare’s General Manager, Bobby Chang, unveiled a plan that will allow partners to benefit from downloaded material, as well as a plan to close down copyright infringing user accounts. The plan will direct users to the partner companies' websites that show promotional material, yet still allow the user to download the material that they are looking for. The logic is that for the amount of sales lost from the downloads, the partner company will be compensated by the amount of people who buy the advertised material on its site. Rapidshare has been testing this method with a small portion of users since the beginning of 2010.