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You might have read in some (almost ancient) papers, that a network like Gnutella can't scale. So I want to show you, why the current Version of Gnutella does scale, and does it well.

In earlier versions, up to v0.4, Gnutella was a a pure broadcast network. That means, that every search request did reach every participant, so the number of search requests hitting each node was for an optimal network exactly equal to the number of requests, made by nodes who were in the network. And you can see easily why that can't scale.
But that was only true for Gnutella 0.4.

In the current incarnation of Gnutella (Gnutella 0.6), Gnutella is no longer a pure Broadcast network. Instead, only the smallest percentage of the traffic is done via broadcast.