Megaupload.com site shut down
 

I suspect hotfile, et al, will be next.....

Posted: Jan 19, 2012 2:40 PM EST
Updated: Jan 19, 2012 4:10 PM EST

By MATTHEW BARAKAT
Associated Press

McLEAN, Va. (AP) - One of the world's largest file-sharing sites was shut down Thursday, and its founder and several company executives were charged with violating piracy laws, federal prosecutors said.

An indictment accuses Megaupload.com of costing copyright holders more than $500 million in lost revenue from pirated films and other content. The indictment was unsealed one day after websites including Wikipedia and Craigslist shut down in protest of two congressional proposals intended to thwart online piracy.

The Justice Department said in a statement said that Kim Dotcom, formerly known as Kim Schmitz, and three other executives were arrested Thursday in New Zealand at the request of U.S. officials. Two other defendants are at large.

Megaupload was unique not only because of its massive size and the volume of downloaded content, but also because it had high-profile support from celebrities, musicians and other content producers who are most often the victims of copyright infringement and piracy. Before the website was taken down, it contained endorsements from Kim Kardashian, Alicia Keys and Kanye West, among others.

The Hong Kong-based company listed Swizz Beatz, a musician who married Keys in 2010, as its CEO. He was not named in the indictment and declined to comment through a representative.

Before the site was taken down, it posted a statement saying allegations that it facilitated massive breaches of copyright laws were "grotesquely overblown."

"The fact is that the vast majority of Mega's Internet traffic is legitimate, and we are here to stay. If the content industry would like to take advantage of our popularity, we are happy to enter into a dialogue. We have some good ideas. Please get in touch," the statement said.

The site boasted 150 million registered users.

A lawyer who represented the company in a lawsuit last year declined comment Thursday.

Megaupload is considered a "cyberlocker," in which users can upload and transfer files that are too large to send by email. Such sites can have perfectly legitimate uses. But the Motion Picture Association of America, which has campaigned for a crackdown on piracy, estimated that the vast majority of content being shared on Megaupload was in violation of copyright laws.

The website allowed users to download films, TV shows, games, music and other content for free, but made money by charging subscriptions to people who wanted access to faster download speeds or extra content. The website also sold advertising.

The indictment was returned in the Eastern District of Virginia, which claimed jurisdiction in part because some of the alleged pirated materials were hosted on leased servers in Ashburn, Va.

Dotcom, a resident of both Hong Kong and New Zealand, and a dual citizen of Finland and Germany, made more than $42 million from the conspiracy in 2010 alone, according to the indictment.

Dotcom is founder, former CEO and current chief innovation officer of Megaupload.

Taken from: APNewsBreak: Feds shut down file-sharing website - CBS Atlanta 46

Re: Megaupload.com site shut down
 

Wow! That's actually pretty wild... Those types of sites are great for their legitimate purpose.

Re: Megaupload.com site shut down
 

True, and they claim to be in compliance when pirated material is reported. If SOPA/PIPA passes, we will see a lot more of this.

Re: Megaupload.com site shut down
 

How can they be held liable for copyright infringement when they are just a "storage" site for users? If there are any infringements, it should be certain member's liability (those that violate piracy laws), not Megaupload's issue. How is a website to check every upload for copyright violations when members change properties of the uploaded files?
Oh well, hopefully they get all straightened out before having to spend millions in court.

Re: Megaupload.com site shut down
 

It's the RIAA and MPAA behind this. They lobby heavily and give large political contributions to legislators who support it. Remember the RIAA were the ones filing lawsuits against kids, elderly and sometimes dead people for supposedly illegally downloading music.

SOPA and PIPA will have tremendous negative impacts on the internet if passed.

Re: Megaupload.com site shut down
 

Looks like it is going to get ugly.

The Evil New Tactic Behind Anonymous' Massive Megaupload Revenge Attack

Re: Megaupload.com site shut down
 

I don't like the RIAA/MPAA but Anonymous are a bunch of internet thugs and I don't support what they are doing. I hate how they are getting away with all this criminal activity.

PIPA has been shelved for now at least.
http://arstechnica.com/tech-policy/n...ent-events.ars

Interesting blog on how Megaupload was investigated.
http://nikcub.appspot.com/posts/how-...d-and-indicted

Re: Megaupload.com site shut down
 

I agree. What they are doing is completely wrong. Any unsuspecting person could click on a link and would unintentionally be helping their cause.

Re: Megaupload.com site shut down
 

Daphne - I agree with you 100%.

Re: Megaupload.com site shut down
 

And so has SOPA.

Re: Megaupload.com site shut down
 

Yep, just saw that.

Re: Megaupload.com site shut down
 

What Anonymous does is tantamount to terrorism, and you can bet your sweet butt that there are more than a few people in more than a few locations watching their every move.

Re: Megaupload.com site shut down
 

I thought I was the only person who felt that way...

Re: Megaupload.com site shut down
 

Nope

Re: Megaupload.com site shut down
 

Agreed.