Sony Pixel Power calrec Sony

FOCUS ON PIRACY: INSIDE THE MIND OF A PIRATE - PART 2: HOW THE PIRATE ECOSYSTEM WORKS

15/05/2023

If you've read the first part in this blog series, you'll be aware that NAGRA recently interviewed a pirate to gain first-hand insight into the motivations, methods and results of pirate activity. If you missed part one, where I explored a pirate's human motivation, you can catch-up here.

The Hidden Foe in Plain Sight

Today's video streaming landscape is heavily fragmented. Multiple services all offer specific content and if you're after a particular genre of content, no matter how niche, there's a service for you. However, this increased competition among service providers is not the end of the story. Hard pressed consumers are also sourcing their favorite content from pirate services - meaning legitimate services are competing with their pirate foes.

In the smartcard era, faced with complex hardware-based cryptography, piracy was technically complex although, as the pirate points out, the overheads were low. A simple script did the job and when a vendor countermeasure was deployed, the same script needed updating. Fast forward to the IPTV/ streaming era and the situation is different.

Pirates are now software experts and have larger overheads, estimated to be about 30% of their revenue'. Equally, we learn that they have their own, hard to come by datacenters that can handle the illegal traffic being routed through them. At a technical level, the pirate industry has a cast of contributors that rivals those of the premium content they seek. Originally it was a technical exercise to just access the content. The pirate told us, I thought I can write website code, I can modify that script, I'm going to have my own website.' This has subsequently expanded with the average pirate network relying on business, marketing and technical professionals through which to create highly realistic services that lure consumers in with a promise of low prices and infinite levels of content.

If You Can't Stand the Heat...

Today's pirate enterprises can be vast in size. Often starting as a simple website that has 1,000 subscribers, they can scale to become major organizations. They grow through syndicating services (for a percentage of revenue) to resellers who in turn sell to more subscribers. This means a single pirate enterprise can quickly support tens of thousands of subscribers. When this is scaled further, some of the largest pirate organizations support millions of subscribers through the same approach. However, the pirate is quick to point out that with scale comes pressure - both financial and legal. Put another way, the larger your pirate enterprise gets, the more it costs to run and the more attention it receives from anti-piracy organizations who represent an industry intent on stopping this illegal activity. Success, the pirate tells us, depends on the level of heat you can bear. He mentions that large pirate IPTV organizations with full marketing organizations simply imploded as they couldn't handle the external industry pressure. That's good news for the industry as it shows deterrent and investigative techniques deliver results. But what about the smaller providers that may be operating under the radar?

The Barber Shop Guy

If subscribers don't engage with pirate services online, they're just as likely, we learnt, to purchase services at local outlets such as their local barbershop or corner store. Pirates build distribution networks which rely on effective marketing and the re-sellers often have scant knowledge of what's technically going on under the hood. This is deliberate as if the marketing end of the operation gets shut down, the technical operations can re-launch elsewhere. This means that your average barbershop or corner store can be selling multiple pirate services and can quickly adapt if they need to. One example is the KboxServ operation in Switzerland that sold boxes for $160 through retail stores and was successfully shut down through a Canal+ and NAGRA operation.

Pirate Business Models

In the main, pirates make money from selling too-good-to-be-true offers for illicit gain. Within the pirate economy however, there are a multitude of business models driven by a pirate's motivation. Some are experts in a particular group of channels and undertake to always keep them on-air'. Some focus on re-selling to others and take a percentage of the re-sellers' revenues. Others front the pirate service with highly functional websites that may even include subscriber support options. Then there are those who blend broader cybercrime with piracy. Here, as part of the subscriber's service enablement they will also deploy hidden malware onto devices which mine identity and financial information that's then traded on the dark web. We also asked if, given all the different approaches, pirates competed. They do and we were surprised to learn that this also includes pirating pirate content which in the streaming era is a lot more commonplace than it was in the smartcard era; largely due to how accessible content is. Each of these approaches demonstrates the scale of the pirate ecosystem intent on damaging our industry. In other words, the services that are advertised on the internet are the tip of the pirate iceberg.

Intelligence-Led Investigations

In looking at the motivations and ecosystem of a pirate, it's clear that the deterrent offered by the industry today does deliver results. Solutions such as forensic watermarking and anti-piracy intelligence help to heap the pressure onto pirate organizations who, as the pirate explained, may simply implode under the pressure. However, for those that don't, different approaches are required.

NAGRA Anti-Piracy services are designed to generate intelligence on pirate operations, explore the
LINK: https://dtv.nagra.com/focus-piracy-inside-mind-pirate-part-2-how-pirat...
See more stories from nagra

Most recent headlines

01/12/2025

L3Harris and PentenAmio Formalise Agreement to Advance Key Management and Secure Communications Technology

L3Harris and PentenAmio formalise their teaming agreement at MilCIS 2025, streng...

01/12/2025

Artemis II: A Mission of Veterans, Firsts and Lunar Dreams

Artemis II is NASA's first crewed flight test of the Space Launch System rocket and Orion spacecraft. The crew, from left: Commander Reid Wiseman, Pilot Vic...

01/12/2025

Wooden Camera Releases Accessory Collection for Canon EOS C50

IRVINE, Calif. Wooden Camera has introduced its new Accessory Collection for the Canon EOS C50. The new lineup includes a low-profile, gimbal-ready cage, expand...

01/12/2025

FCC to Vote on LPTV Rules at December Public Meeting

WASHINGTON The Federal Communications Commission has released a tentative agenda for its Dec. 18 Open Commission Meeting that will include a vote on a report an...

01/12/2025

2026 Local TV Ad Forecasts Offer Growth and Uncertainties

In most years, a graph of annual local TV ad spending is about as predictable as an electrocardiogram of a reasonably healthy patient in a doctor's office. ...

01/12/2025

Increasingly Software-Centric Switchers Occupy Hybrid Space

Many industries have seen big-ticket hardware turn into software. Switchers, though, demand a combination of real-time performance and sheer bandwidth that has ...

01/12/2025

China to Host ITU World Radiocommunication Conference 2027

GENEVA Shanghai will host the next quadrennial Radiocommunication Assembly (RA-27) and World Radiocommunication Conference (WRC-27), Oct. 11-Nov. 12, 2027. This...

01/12/2025

Broadcasters Foundation Seeks Donations for Giving Tuesday

NEW YORK Just in time for Giving Tuesday tomorrow (Dec. 2), the Broadcasters Foundation of America is seeking out donations to help television and radio industr...

01/12/2025

Net Insight CEO Crister Fritzson Sets 2026 Retirement

STOCKHOLM, Sweden Net Insight CEO Crister Fritzson has informed the company's board that he will retire from the video transport and media cloud technology ...

01/12/2025

Kyivstar and Ukrainian Ministry of Digital Transformation Select Google Gemma as the Foundation for Ukraine's National LLM

01 Dec 2025 Kyivstar and Ukrainian Ministry of Digital Transformation Select Go...

01/12/2025

Sky unveils official trailer for highly anticipated prequel Gomorrah The Origins coming to Sky and NOW early 2026

The prequel to the global hit Sky Original mob crime saga, Gomorrah' is a s...

01/12/2025

Step inside Nick Caves Veiled World a one-off special featuring Florence Welch, Flea and more, premiering 6 December on Sky and NOW

Featuring Florence Welch, Red Hot Chilli Peppers' Flea, designer Bella Freud...

01/12/2025

A DowntoEarth, AllTooRelatable Hero: Cashero' Teaser Trailer Unveiled, Premieres December 26

Back to All News A Down to Earth, All Too Relatable Hero: Cashero' Teaser ...

01/12/2025

The Hidden Impact of Bad Conversion

In the rush to deliver content to every screen, many broadcasters overlook one of the most crucial steps in the workflow: format and frame rate conversion. Get ...

01/12/2025

Fox Corporation Chief Financial Officer Steve Tomsic to Participate in Upcoming UBS Global Media and Communications Conference 2025

Fox Corporation Chief Financial Officer Steve Tomsic to Participate in Upcoming ...

01/12/2025

Arvato Systems' Virtual Private Cloud (VPC) Receives BSI C5 Certification (Type 2) Following Audit by HLB Stckmann

Arvato Systems' Virtual Private Cloud (VPC) Receives BSI C5 Certification (T...

01/12/2025

Consumer Magazines Returns System - 2025 Update

Summary This short video gives you an summary of the changes in under two minutes. --...

01/12/2025

From Ballet to Books: RT is Supporting 12 Arts and Cultural Events all over Ireland this December

As the festive season approaches, RT Supporting the Arts is proud to showcase a...

01/12/2025

At NeurIPS, NVIDIA Advances Open Model Development for Digital and Physical AI

Researchers worldwide rely on open-source technologies as the foundation of their work. To equip the community with the latest advancements in digital and physi...

01/12/2025

Lights, Camera, Christmas: RT rings in the Season S an Nollaig

Festive specials of Christmas in Kilmainham presented by Marty Whelan, High Road Low Road, Callan Kicks the Year and Keys to My Life Ring in the New Year with ...

01/12/2025

Architect and presenter Hugh Wallace dies aged 68

Architect and television presenter Hugh Wallace, best known to RT audiences as a long-serving judge on Home of the Year, has died at the age of 68. In a state...

28/11/2025

Brides Asks for Compassion for Our Youths

Nadia Fall attends the 2025 Sundance Film Festival premiere of Brides at the Egyptian Theatre on January 24, 2025, in Park City, Utah. (Photo by Donyale West/...

28/11/2025

4 Reasons Why Keeping Your Spotify App Updated Matters and What You Might Be Missing

It's easy to ignore those little red update available badges. But when it ...

28/11/2025

FCC to Vote on LPTV Rules at Dec. Public Meeting

WASHINGTON Federal Communications Commission has released a tentative agenda for the December Open Commission Meeting scheduled for Thursday, December 18, 2025 ...

28/11/2025

Professional Fighters League Packs a Domestic, International MMA Punch (TV Sportsplay)

The Professional Fighters League is looking to super-serve fans of mixed martial...

28/11/2025

Fubo Launches Multiview Beta on Roku

Fubo has released in beta on select Roku devices a new feature that lets users display up to four simultaneous streams at once....

28/11/2025

WNBA Playoffs Continue: What's On This Weekend in TV Sports (Sept. 28-29)

The WNBA playoffs and Week 4 of the NFL regular season highlight the list of live sports events airing on television this weekend....

28/11/2025

Freeze Frame: B+C Hall of Fame 2024

The 32nd class of honorees to the B+C Hall of Fame took to the stage at New York's Ziegfeld Ballroom on September 26 for a gala induction event. Click below...

28/11/2025

Next Text: As DirecTV and Dish Try to Seize the Remains of the Day, Does It Even Matter?

We hold in our hands the very last Next Text for Next TV, the weekly back-and-fo...

28/11/2025

DirecTV Acquires Dish, Unifying Struggling Satellite Business

DirecTV said it made a deal with EchoStar to buy EchoStar's video businesses, including satellite-TV provider Dish TV and virtual MVPD Sling TV, for $1 plus...

28/11/2025

B+C Hall of Fame Announces Its Class of 2025

The Broadcasting+Cable Hall of Fame, the premier industry event paying tribute to the influencers, innovators and shining lights of broadcast, cable and streami...

28/11/2025

Sky Sports x Slawn drop limited-edition football jersey that unlocks a month of free content from the home of sport

Friday 28 November 2025 Sky Sports x Slawn drop limited-edition football jersey...

28/11/2025

Rohde & Schwarz shows resilience in a challenging environment, revenue exceeds three billion euros for the first time

Rohde & Schwarz shows resilience in a challenging environment, revenue exceeds t...

28/11/2025

Changing children's lives for good: Donations for the RT Toy Show Appeal 2025 open tonight

Unwrapped: The Toy Show Appeal - airing this Sunday on RT One and RT Player- s...

27/11/2025

Vizrt Launches Viz One 8.1 With AI-Powered Features

LONDON Vizrt has added several AI-driven advanced features offering improved speed, intelligence and accuracy in the newest version of its media asset managemen...

27/11/2025

Prime Video Debuts AI-Powered Video Recaps

Prime Video has launched AI-powered video season recaps in a beta version for select English-language Prime Original series in the U.S., a move Amazon is callin...

27/11/2025

Netflix's 'Raat Akeli Hai: The Bansal Murders' Marks a Grand World Premiere at IFFI Ahead of Its Global Release on 19th December

Back to All News Netflix's Raat Akeli Hai: The Bansal Murders Marks a Grand...

27/11/2025

Sky unveils first look image from high-stakes action thriller Prisoner, coming 2026

Tahar Rahim and Izuka Hoyle star in the gripping six-part Sky Original from Acad...

27/11/2025

Sky Arts Reveals the Nations Greatest Basslines and Queen Reign Supreme

Thursday 27 November 2025 Sky Arts Reveals the Nation's Greatest Basslines - and Queen Reign Supreme The UK's most iconic basslines have been revealed...

27/11/2025

Stranger Things 5': Prepare for One Last Adventure With Our Final Season Coverage Guide

Back to All News Stranger Things 5': Prepare for One Last Adventure With O...

27/11/2025

Elastic Compute for a Sustainable Media Industry

The media industry has a paradox at its core. It's an industry built on light, color and imagination, yet behind the scenes, it's powered by one of the ...

27/11/2025

Arqiva Achieves Five-Star GRESB Rating

Rating reflects rating progress across areas including policies, diversity & inclusion, health & safety and Net Zero leadership Winchester, UK, 27 November 202...

27/11/2025

Retail Media Audits Explained: What Networks Need to Know

What are the industry standards for Retail Media? Kathryn explains that certification is based on the IAB Europe Retail Media Measurement Standards and the IAB ...

27/11/2025

Katie Taylor, Rachael Blackmore and Arthur Gourounlian among the guests on this week's Late Late Show

World champion boxer and Irish sporting icon Katie Taylor will be in studio this...

27/11/2025

Tonight on RT Prime Time, serious child protection concerns emerge over online gaming platform, Roblox

Roblox, one of the world's most popular online gaming platforms for primary ...

27/11/2025

The Ultimate Black Friday Deal Is Here

Black Friday is leveling up. Get ready to score one of the biggest deals of the season - 50% off the first three months of a new GeForce NOW Ultimate membership...

26/11/2025

SVG Sit-Down: Prime Video EP Mike Muriano Previews Massive Black Friday Slate Featuring NFL, NBA, and Golf

SVG Sit-Down: Prime Video EP Mike Muriano Previews Massive Black Friday Slate Fe...