Dynasty Scans
joined Oct 1, 2010
The biggest issue Jmanga had, was that they didn't add any value to the fan-based scanlation system.
Crunchyroll has been successful, and I think a lot of that is because they add value outside of legitmacy. The simulcasts they offer is something that no fansubber can compete with.
With Jmanga you had to pay for a service that was worse then what scanlators currently provide for free.
Imagine if Jmanga released a chapter of Sasameki Koto a day after it was released in Japan, and that you could download a zip or ebook of it. That is not something that scanlators could have competed with. How much more likely would you have been to have purchased it?