Italy shuts down piracy network linked to $348m losses for Netflix

Italian authorities dismantled an alleged piracy network called CINEMAGOAL that generated around €300 million ($348 million) in losses for Netflix, Disney+, Spotify, Sky, and DAZN by stealing and recycling legitimate subscription credentials.

This operation, known as Operazione Tutto Chiaro, comprised over 100 raids across Italy, along with simultaneous raids in France and Germany, showing how digital piracy in today’s age has progressed from mere content distribution to sophisticated credential harvesting systems.

While classic streaming sites would create their own content without proper licenses, CINEMAGOAL used a different loophole of legitimate paid subscriptions. It is reported by authorities that CINEMAGOAL accessed login details from paying subscribers, who created their profiles using false names, and updated them every three minutes for paying customers.

The structure ensured that streams were forwarded through foreign proxy servers to disguise the behavior and IP addresses of viewers.

In addition, more than 70 people in Italy served as resellers offering annual access for around €40 to €130.

Resellers retained commissions while forwarding profits to network organizers, a traditional franchise model adapted for digital crime.

Around 1,000 identified users face administrative fines ranging from €154 to €5,000, with investigators warning that additional users may be identified as seized evidence undergoes analysis.

Moroever, prosecutors in Bologna seized servers containing decryption data and CINEMAGOAL's source code, revealing layers of technical architecture designed to evade law enforcement.