How Your Favorite Internet Companies Make Money

After setting up free networking profiles on Facebook, Twitter and LinkedIn, an Internet user can instantly access the largest repository of information mankind has ever compiled at no cost -- through Google. That person can stream music for free on Spotify, watch videos for free on YouTube, download free mobile phone apps on iTunes, set up a website for free on WordPress and post free classified ads on Craigslist.

Indeed, the Internet is a bargain hunter's dream.

The paradox is that, while a great number of Internet services come gratis, the companies that provide these services are turning huge profits.

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