Megaupload shut down, founder Kim Dotcom arrested


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Megaupload founder Kim Dotcom was arrested today in New Zealand, a day after his filesharing site shut down by US prosecutors. Dotcom was arrested at the request of US authorities.

Megaupload allowed anyone to upload and download video and audio files for free. User could pay extra for perks like faster download speeds.
Rights holders claim Megaupload fosters piracy. Its business model encourages users to upload pirated material.

Anonymous retaliated by shutting down government and entertainment industry websites including sites for the US Department of Justice, the US Copyright Office, The Recording Industry Association of America, The Motion Picture Association of America, Universal Music Group, the BMI record label and French copyright authority HADOPI.

German national Kim Dotcom, aka Kim Schmitz aka Kimble, founder of Megaupload and such related sites as Megavideo, Megaerotic and Megaporn, allegedly made $42 million from his sites last year alone. Dotcom is a former hacker with previous convictions for credit card hacking, embezzlement and insider trading.
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