How does web hosting sites make profit??

How does web hosting site like mediafire, hotfile etc make their profit.
What does they get money?
if i upload a file there and some one download then whats profit for those sites how much money they make if i use their services and how they make that.
i just want to know that because i was also planning to host a site like that.
In simple way if i make a site like mediafire then how will ii get profit from the site and how much??

Please give me some light on that.
Thanks

 

Advertisements and premium memebrship

 

Thanks for reply
but is the earning from ads will be sufficient to make profit.

 

The server costs will be high, however think of the amount of traffic the site gets. You also have resellers selling premium membership on your behalf such as http://www.24instant.com/6-mediafire

It is a big money business and very difficult to make money from, the more traffic they get the more money they make though.

 

Thanks for your reply
it was really helpful

 

no problem, just got to remember how many visitors are visiting the site every day = lots of ad clicks and memberships

 

Pretty much summed it up to be honest, dispite the fact a lot of hosts reward/pay people to upload their files/get them downloaded, somehow they are still making money, I mean after all, it's going to take a lot of people / loads of traffic to make money back, which is why new/small file hosts tend to die very, very quickly. It's a really competitive niche.

 

and do not forget, they have also been around for a good while also, so they have earned their way to where they are....
just like DP, they have been here for a long time, you can not setup a competing site, and expect success right away,
it could take 10+ years to get where you need to be...If you setup a niche that is already been rocking strong
for years, then you are going to go through a long and hard struggle of trying to get into the crowd, and honestly, it may cost you a lot more money then you maybe willing to pay in order to even try to bust in, and still no guarantee of success. When you have several markets already out, and have been out for years, then you really want to think long and hard on if this is what you really want...because you will be investing many years, and lots of money, and it does not matter what niche it is...because if there are 10,20,30 already out there, then it will take a lot of work, long hours, time, and money, and that is just to get you to a point of making a few dollars if you get that.

good luck