This is interesting. IP address databases are typically bought and sold for figures in the thousands. This service presumably purchases one or some of these and attempts to make up the cost by providing it on an as-needed basis.

I wonder if there are any additional data sources that can just be bought wholesale and sold in pieces? Think of all the applications that needed very precise IP address data but couldn't afford the whole dataset. They can now exist!

I could also be wrong and this isn't at all the approach this service takes...