The main difference (that you'd likely care about) is the workflow.
On generic file sharing networks, like eMule and KaZaA, you look for a specific file to download. Once you've downloaded it, you're free to do whatever you like with it, including playing it in an audio player if it is an audio file.
What I'm proposing is that people share their library of music. So, you can browse what people have without knowing, before hand, what you want to download. If you find something you think you might like, then you can play that music file. It will be streamed in so you can listen to it before it is fully downloaded. If you have a broadband connection, this should be immediately. If you decide you like it, it will already be on your hard drive. The workflow should be seamless compared to generic file trading networks. You can also do things that take advantage of the fact that we're dealing strictly with music, like listen to entire albums or works of a particular artist.
Finally, this will be a private network so only people who have been invited to the network are part of the network. In this regard, it will be unlike Napster and immune from legal prosecution...
Does this suffiently explain the difference?
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