In the wake of law enforcement’s shutdown of file sharing site Megaupload, the competing service FileSonic decides to shut off public file sharing completely. Users can only download their own files at this time. Additionally, their rewards program was discontinued hours before the file sharing was disabled, leaving many users wondering if they’ll be compensated for money they recently earned when others downloaded their files.
This drastic step on FileSonic’s part is implemented despite the service already employing digital fingerprinting technology to detect unauthorized content uploads and complying with DMCA takedown requests. (They have a designated DMCA agent and provide instructions for submitting a copyright claim.) Obviously, this raises the question of whether or not the Department of Justice crackdown on Megaupload is creating irrational fear and putting the brakes on legitimate file hosting services. At least one other large file sharing service, RapidShare, doesn’t currently feel threatened. According to a recent interview with ArsTechnica staff, RapidShare still firmly believes the service they provide is legal. Their CEO, Alexandra Zwingli, points out that RapidShare doesn’t use a reward system and operates a more transparent business, with only one physical location in Switzerland since its inception.
Given some of the DOJ’s charges against Megaupload, however, it remains to be seen how everything will pan out. The complaint of DMCA takedown requests only resulting in the site deleting specific link versus deleting the source files themselves is suspect. What happens if a legitimate rights-holder uploads the same content that’s also uploaded by someone who doesn’t have the legal right to upload it? The DOJ also cites Megaupload’s configuration — deleting files not downloaded for a certain period of time — as evidence the site was designed for copyright infringement. That argument ignores the fact that many legitimate services do the same thing because they know their primary function is short-term content distribution, not off-site backup.
We may see a more hostile legal environment for web sites even without SOPA or PIPA legislation passing.
It appears FileSonic isn’t the only “file-sharing” service to abandon their users, and (with no notice!) disable downloading of files by anyone other than the original uploader. FileServe has just done the same thing. Haven’t checked yet, but I’ll bet lots of others have/will probably follow suit. Essentially, they’ve gone from file-SHARING sites to file-STORAGE only. No doubt this is a reaction to the MegaUpload arrests.
Without other users’ ability to download your files — and therefore the obviously necessary discontinuation of “rewards” programs (points, credit, money, etc) for uploaders — what incentive is there for people to upload anything to these sites anymore? If you just want online file storage, there are plenty of more reliable/convenient choices already available.
I suspect they will quickly go bankrupt and disappear, and because I’ve now lost so many files, links and countless hours of work uploading, I hope they do.