How can XBMC Hub be free and commercially viable?

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I have been using XBMC with the XBMC Hub third party add on. With the enormous content available, this could replace cable TV. My question is how this can be not only free, but commercial. Is this legal? Are copyright laws being violated? The server infrastructure must be huge. How is money being made? As this becomes more popular, will it go away? It all seems too good to be true.


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