Shut down: July 2001

Back in the late 90s, early 2000s, everyone was jacking MP3 files from Sean Parker and Sean Fanning's centralized P2P domain. The RIAA (Recording Industry Association of America) caught wind of Napster and filed a lawsuit against the company for massive copyright violations. Surprisingly, the trial made Napster more popular as it earned millions of users during the proceedings. But Parker and company had to close up shop as the company’s appeal failed and an injunction was issued. Napster settled to pay copyright owners and creators $26 million in damages, along with $10 million for an advance against future licensing royalties.