Megaupload was shut down, and Kim DotCom arrested. It is more than human to feel good seeing a guy arrested who did his best to present himself as an idiot, wasting billions on wrecking luxury carts in illegal cannonball races or buying yachts as other do buy sneakers… But unfortunately even this medal has two sides.
Let me start with this:
Some famous artists spoke for Megaupload as they earn money via this service. They did so in a Youtube video that you cannot watch any more, as UMG took it off Youtube via the common ‘this belongs to UMG’ spoiler. But as a matter of fact ‘Nothing in our (Megaupload’s) song or the video belongs to Universal Music Group. We have signed agreements with all artists endorsing Megaupload’ said ,” Megaupload CEO David Robb. Hmm…
Now we learn that Megaupload was about to enter the US stock market with a multi billion dollar initial public offering (IPO). And preparing such a big IPO – we all can be sure – is not an easy or quick process. Megaupload was talking with several of the “Big Four” auditors, who certainly would not spend billions on obviously illegal investments that would be off the market before returning on the investment.
Even more – entering the stock market means a lot of review of your operations, financials and overall business models of not only by the auditors / accountants, lawyers for regulatory filings and IPO underwriters, but also allows various regulatory agencies which govern the stock exchanges and public markets to sniff through your locked drawers.
Somehow this does not match with the accusations that lead to shutting Megaupload down.