Final answer:
Napster established a Peer-to-Peer (P2P) file sharing system that enabled direct file sharing between users' computers, a major shift in digital content distribution.
Step-by-step explanation:
The Napster software set up what's called Peer-to-Peer (P2P) file sharing. This form of file sharing allows users to share files directly between their computers without the need for a central server. Napster was a pioneer in popularizing this method, which led to significant changes in how music and other digital content were distributed and consumed. It's important to understand the significance of P2P networks in the context of digital media and internet history.