MegaUpload was blatantly profiteering off of copyright infringing materials. DMCA take down notices affected only a single link to a file and not the file itself. Premium users could spend money to "clone" files by generating a new link without having to upload a single byte. MegaUpload paid users based on the number of times their file was downloaded. It is claimed that MegaUpload accounted for four percent of all internet traffic. They did all this to the tune of several hundred million dollars in profit.
There are numerous websites that are 100% dedicated to the streaming of copyrighted material (TV shows and movies). They stream content from MegaUpload directly to your browser with no download needed.
MegaUpload blatantly and clearly did not care about hosting and serving copyright infringing material from their servers. It does not require an IT genius to detect that the file Game.Of.Thrones.S1.E01 which has been downloaded hundreds of thousands of times may possibly be copyright infringing material.
Someone who actually cared would look at which websites are streaming content to MILLIONS of users. If that website is 100% solely dedicated to serving copyright infringing material then you should probably take down the files they are streaming.
The wiki DMCA Online Copyright Infringement Liability Limitation Act states "To qualify for the § 512(c) safe harbor, the OSP must not have actual knowledge that it is hosting infringing material or be aware of facts or circumstances from which infringing activity is apparent." IANAL but it was pretty damn apparent that MegaUpload was being used for infringing activity to me.
I seriously don't understand why this community supports Kim Dotcom and MegaUpload. I really don't.