BitTorrent is a peer to peer protocol for distributed downloading
The important bit here, is the "distributed" bit
you do not need a ridiculous infrastructure to host files
You have a large file (say, 100Mb) that many people want (say, 100 people)
the traditional (client / server) way of getting that file to others is to host the file on the net
and let others download it directly
100 people (who do not know about each other) each downloading 100Mb from you means your pushing out 10Gb of data
additionally, you are going to need a super fast connection in order to give reasonable download speeds to your people
Say, 1 person at a time can download the file from you in 1 hour
then 100 people at the same time would each take 100 hours to get the file
You need a connection speed 100 times that of your downloaders for them to get full speed
That's expensive.
The big advantage with distributed downloading, is that all the downloaders "know" about each other
The distributed way of hosting the file (BitTorrent, and others) is to split the file up into lots of little pieces.
Then some people download some of the pieces from the host.
Some more people want to download those pieces as well. Now they have a choice about who they download them from (the original host, or the people who've already got the pieces)
All the downloaders download all the pieces from everybody else
The original host can get away with only uploading 100Mb of data (as opposed to the 10Gb as above)
Once all the pieces are "out there", everybody grabs bits from everybody else until everybody has all the pieces
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