The Peer-to-Peer (P2P) model has been linked since its inception with initiatives that are quite different from traditional business concepts. P2P programs have typically been free, with many of them being part of free software projects. While it’s true that the traditional P2P model is based on obtaining and exchanging resources for free, for the phenomenon to survive, it must eventually start generating revenue. Many P2P companies have disappeared due to the high costs of continuous legal disputes. Companies managing P2P initiatives should consider how to turn their users into sources of income.
P2P technology has significant business potential for collaboration and communication, file and information exchange, leasing idle computer capabilities, and the legal distribution of digital content. Due to the numerous applications and benefits generated by P2P applications, profit-driven initiatives are emerging. These include accepting sponsorships and marketing campaigns, extracting and selling user data with consent, receiving donations, offering premium versions, and establishing subscription services.
Many P2P applications can be handled by client-server architectures, but P2P offers significant improvements. The main current applications of P2P can be grouped into collaboration, instant messaging and IP telephony, network games, file sharing, content distribution, data synchronization, and processing cycle sharing.
Collaboration
Collaborative computing, or groupware, involves technologies and processes that eliminate employee isolation and build a cooperative business and training model. In a working group, collaboration means sharing ideas and resources through interactive communications. For example, team members working on a project need to exchange messages and documents and have a synchronized schedule of joint activities and tasks. This can be done through email, chat, instant messaging, IP telephony, or videoconferencing. Virtual electronic whiteboards can facilitate communication during meetings, and documents can be developed both individually and jointly.
One significant advantage of using P2P technology for collaboration is that an application can function without relying on centrally managed servers. P2P programs discover other nodes and securely route messages between users. An example of a comprehensive P2P collaboration application is Groove, which integrates instant messaging, chat, file sharing, contact schedules, and common calendars, allowing group work on the same Word file with total security.
Instant Messaging, Telephony, and IP Video Conferencing
Internet-based telephony or VoIP (Voice over IP) has been available for years but hasn’t dominated the market due to low call quality, firewall issues, and complex user interfaces. Traditional systems like AOL Instant Messenger or MSN Messenger route calls through firewalls but are costly to operate. As a result, companies allocate few resources to servers per user, affecting call quality.
The next logical step in the P2P revolution was IP telephony, with Skype being the first program to develop such a network. Skype efficiently uses all available network resources, improving call quality and connection rates. Besides telephony and IP videoconferencing, Skype allows instant messaging and direct file transfers between users.
Network Games
Network games share common characteristics with other computer games, such as rendering technology and a mission or story defining the game’s objective. In network games, there is a shared environment with multiple remote participants. A central server typically manages the game’s state, admitting player connections, updating the game state, and broadcasting it to players.
P2P is attractive for network games because players are open to new technologies, and the traffic generated by games is manageable by P2P networks. P2P allows better community control compared to central servers. Game designers prefer not to invest in reliable servers for many players. P2P technology has been demonstrated in games like JXTA Chess, an internet chess game developed with JXTA technology.
File Sharing
File sharing is the most well-known and controversial P2P application. P2P technologies distribute information flexibly, safely, and dynamically, making control difficult. This has led to unauthorized dissemination of copyrighted material. Programs like Kazaa or eDonkey2000 are used to share copyrighted content, leading to legal battles between developers, users, and content producers.
Digital Rights Management (DRM) allows content distribution to comply with copyright laws. DRM techniques use encryption to control access to resources. Services like Snocap or Audible Magic control the legality of shared content through P2P networks. Legal P2P networks like Crux, PeerImpact or iMesh offer advantages over conventional P2P networks, such as no malicious code, accurate file information, and no piracy encouragement.
Content Distribution
Content distribution differs from file sharing in that files are replicated among different peers. P2P networks are useful for distributing digital newspapers, magazines, video on demand, or streaming video or audio. The main benefit is that only a few peers need to access the server to download content, which is then replicated among peers. This reduces the need for powerful servers and saves costs within organizations.
Real-time content distribution using streaming techniques allows users to view or listen to content without pre-downloading. This has led to the proliferation of online radio and TV stations. Current streaming architectures are client-server based, but P2P can improve efficiency and quality at a lower cost. The BBC uses P2P technology for its Internet Media Player, incorporating DRM to protect copyrights.
Data Synchronization
Data synchronization in P2P is similar to content distribution but at a more granular level. Users sync data between devices, such as contacts between a mobile phone and a PC. Synchronization can distribute software patches or update documents for teleworkers. Microsoft’s Windows Vista uses P2P technology for content distribution and data synchronization, called Avalanche, for legal material downloads and security updates.
Synchronization can also perform automatic backups of critical data. Popular Telephony’s PeerioData creates storage networks without dedicated servers, reducing infrastructure costs. PeerioData segments and encrypts files, distributing them across networked computers. When accessing a file, PeerioData retrieves and recomposes the pieces, balancing load and increasing speed.
Processing Cycle Sharing
PCs are continually improving in speed, storage, and price. Most applications don’t use 100% of a computer’s resources, leaving significant excess capacity. P2P applications can use this excess capacity to solve complex problems by dividing them into subproblems handled by multiple computers. A central server typically controls resources, but much of the system runs autonomously on computers.
Programs like SETI@home use this model to search for extraterrestrial life by analyzing space signals. Users download a screensaver that analyzes signals during inactivity. This model can be applied to various fields, such as finance and biotechnology, with companies like United Devices working on business models that utilize other users’ computing power to solve problems.
How can this be helpful for the future usage?
In conclusion, P2P technology offers numerous applications and business models, from collaboration and communication to file sharing and content distribution. By leveraging P2P’s unique advantages, companies can create innovative solutions and generate revenue while providing valuable services to users.
