Megaupload returns in early 2013

Kim Dotcom announced a new version of Megaupload will be launched in January 2013. The new online storage service will be called "Mega", it will not only enable users of the cloud-based storage service to upload, store and share data, but also to encrypt those files and grant access using unique decryption keys. Dotcom will no longer use US-based hosting companies to prevent being shut down by US authorities, and he is certain that Mega would avoid violating US law. Full details at Reuters.

Users of the new cloud-based service will be able to upload, store and share photos, text files, music and films, encrypt those files and grant access using unique decryption keys.

"You hold the keys to what you store in the cloud, not us," a statement on the Mega website said.

While the new site will operate faster and boast a bigger storage capacity, the encryption technology marks a major change from Megaupload as Mega operators will not have access to files and will therefore be immune to content liability.

Ensuring that files are not pirated will be the job of content owners, a major change from Megaupload, which the U.S. film industry says was directly responsible for taking down illegally uploaded content.