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Microsoft Funded Startup Aims to Kill BitTorrent Traffic

From TorrentFreak:

The Russian based “Pirate Pay” startup is promising the entertainment industry a pirate-free future. With help from Microsoft, the developers have built a system that claims to track and shut down the distribution of copyrighted works on BitTorrent. Their first project, carried out in collaboration with Walt Disney Studios and Sony Pictures, successfully stopped tens of thousands of downloads.

Hollywood, software giants and the major music labels see BitTorrent as one of the largest threats to their business.

Billions in revenue are lost each year, they claim. But not for long if the Russian based startup “Pirate Pay” has its way. The company has developed a technology which allows them to attack existing BitTorrent swarms, making it impossible for people to share files.

The idea started three years ago when the developers were building a traffic management solution for Internet providers. The technology worked well. It was able to stop BitTorrent traffic if needed, which made the developers realize that they might have built the holy anti-piracy grail.

“After creating the prototype, we realized we could more generally prevent files from being downloaded, which meant that the program had great promise in combating the spread of pirated content,” Pirate Pay CEO Andrei Klimenko says.

With this new business model in mind the company continued to develop their product, and it didn’t take long before an investor was willing to support it. Last year Pirate Pay received a $100,000 investment from the Microsoft Seed Financing Fund.

Microsoft Russia’s president praised the innovative idea, which his company would also be able to use in the future.

With the cash injection the company continued working on their anti-piracy solution and December last year Walt Disney Studios and Sony Pictures were the first to hire Pirate Pay’s services. For a month Pirate Pay’s technology protected the film “Vysotsky. Thanks to God, I’m alive,” with moderate success.

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