Rightscorp is a business based on the extortion business-model, founded on the idea that your ISP would lock you out of the Web unless you paid Rightscorp the arbitrary sums they decided you owed to them (but who was too scared to defend their business in court) — but it looks like sleaze isn’t as lucrative as they hoped.
The company lost $2.2M last year, and has lost a total $6,540,194 since it was founded. It brings in about $1M/year. The share price is down at $0.13, an all-time low.
Rightscorp had big plans and went public last year on the NASDAQ exchange, aiming to help the biggest entertainment companies turn piracy into profit. Thus far, however, the results have been rather disappointing.
Despite teaming up with prominent names such as Warner Bros. and BMG, the company hasn’t been able to turn a profit.
In their latest SEC filing published earlier today the company reports a total loss of $2.2 million for the current year. This brings the total loss since its founding in 2011 to more than $6.5 million.
Anti-Piracy Firm Rightscorp On The Brink of Bankruptcy?
[Ernesto/Torrent Freak]