The internet exists to link people and computers together. It is not designed to make money,
Tell that to eBay, PayPal, Amazon, Google, and iTunes. If these online companies were not making money and showing a constant stream of profit, they would not still be on the internet to this day.
eBay, PayPal, and Amazon, make money as 'middlemen' to the physical enconomy comprising largely of the buying and selling of 3-dimensional objects. Should 'replicator technology' seen in STAR TREK become a reality, they will become unecessary and will fall by the wayside of history.
Google makes money as an ad agency that happens to own and operate a wildly popular internet search engine and a complete copy of the non-binary portion of USENET via Google Groups. Once somebody comes up with a search engine that is consistently better than Google and mirrors Google Groups in its entirety, they too will fall by the wayside of history as well.
iTunes makes money by selling 'digital downloads' of pieces of popular culture (primarily music). They are proof that it is possible to make money online selling non 3-dimensional objects. Once their entire catalogue of downloads is available for free online elsewhere on the internet, they too will fall by the wayside of history as well.
As the parent poster said, the internet exists to link people and computers together--it also exists to exchange information in the form of computer files. The media cartels realize the internet can distribute (their) content cheaper and faster (and illegally) than they can which will eventually make them fall by the wayside of history as well. There response to this looming threat in the past shows that they are desparate and will do ANYTHING to continue to exist. This is simply self-preservation in action.