From what I can tell, the issue is that there has so far been no evidence that this move will do anything to actually prevent the distribution of child pornography. That is, it might be collateral damage without fulfilling its primary objective.
So? It's pretty clear that the owner knowingly allowed it and perhaps even promoted it. It's obvious that this person broke a serious law. Should the FBI just turn a blind eye because shutting down a hosting service won't be 100% effective at eliminating that content forever? No. We don't prosecute any crime conditionally on the basis of how effective that specific prosecution is at eliminating current/future instances of the same crime. Just because prosecutions of some Internet-related crimes are unjust doesn't mean you should employ mental gymnastics to side with every alleged Internet criminal.
I don't dispute that this if convicted is a criminal offence. I guess I was coming from the angle that the children who are the victims should be the priority...
I was thinking the same thing... While I agree that hosting cp is definitely a problem. Going after the service provider does not get to the root of the actual problem.
Having said that, the story is quite young so I guess we will have to wait and see what transpires.