Major movie studios sue Megaupload

Kim Dotcom Kim Dotcom is fighting extradition to the US over charges of copyright infringement

Related Stories

Six of the biggest movie studios have sued Megaupload and its key operators, including founder Kim Dotcom.

They have alleged the site and its operators "facilitated, encouraged, and profited" from copyright infringement.

Megaupload was one of the largest file-sharing sites before it was shut by US regulators in 2012 who have accused it of costing copyright holders more than $500m (£320m) in lost revenue.

Mr Dotcom has denied those charges, saying the site was a storage service.

Start Quote

Megaupload wasn't a cloud storage service at all, it was an unlawful hub for mass distribution”

End Quote Steven Fabrizio Motion Picture Association of America
'Paid users'

In a statement, Steven Fabrizio, global general counsel of the Motion Picture Association of America (MPAA), said: "When Megaupload.com was shut down in 2012 by US law enforcement, it was by all estimates the largest and most active infringing website targeting creative content in the world."

The MPAA alleged that Megaupload used to pay users for uploading popular content and as a result was not a storage service.

"Megaupload was built on an incentive system that rewarded users for uploading the most popular content to the site, which was almost always stolen movies, TV shows and other commercial entertainment content," said Mr Fabrizio.

"It paid users based on how many times the content was downloaded by others - and didn't pay at all until that infringing content was downloaded 10,000 times.

"Megaupload wasn't a cloud storage service at all, it was an unlawful hub for mass distribution," he added.

However, Mr Dotcom rejected those claims. He tweeted that files bigger than 100MB in size "did not earn rewards".

"Hollywood claims that we were paying users to upload pirated movies. Stupid."

Mr Dotcom has fought a long-running legal battle over the case in New Zealand where he lives.

He is fighting extradition to the US over charges of copyright infringement on a "massive scale".

Megaupload had about 150 million registered users before it was shut down. At one point it was estimated to be the 13th most frequently visited website.

In January 2013, a year after the closure of MegaUpload, Mr Dotcom set up Mega, which also allows users to host and share large files on the internet.

More on This Story

Related Stories

From other news sites

* May require registration or subscription

The BBC is not responsible for the content of external Internet sites

More Technology stories

RSS

Features & Analysis

BBC Future

Digitised dollar bill

Surprising way to get rich online

Reddit founder’s new money-making scheme Read more...

Programmes

  • The Audi RS7Click Watch

    Tech news review of the week including a speed record for a self-driving car

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.