Youtube/MegaUpload: It Is All About Who You Know

It is not what you know, but who you know.

According to DailyFinance in 2006 over 70% of Youtube’s most popular videos were from copyrighted material. From Viacom’s lawsuit against Google you can see quotes from the founders taken directly from their email where they acknowledge all the copyright issues and create different ways to keep the videos despite future legal problems in order to keep page views and users increasing.  It is business and they knew in the early days that high quality television clips drove audience and without them they would loose all momentum and there ability for a quick sale would take a major hit.

Once Youtube reached a massive audience the founders started to get more concerned with at the minimum creating an appearance that they where trying to fight copyrighted material.

On the other hand is infamous Internet legend Kim Dotcom.  Dotcom was recently arrested during a raid on his house for his website MegaUpload.  MegaUpload was a massive video sharing website along the same lines of Youtube with a premium twist along the same lines as Dropbox.  Many of the studio/media heads learned there lesson with Youtube and wanted to make an example of Kim DotCom.

Hundreds of agents backed up by helicopters in full tactical gear swarmed his home in New Zealand and arrested him, took his possessions and froze his accounts. With his website shut down, house arrest in New Zealand, and looming extradition to United States most people would be massively depressed.  Not Kim DotCom.  He is fighting back and winning battle after battle.

Recently an article describes what Kim DotCom portrays as a massive conspiracy against him.  Kim DotCom was able to go through public White House visitor log books where he uncovers a meeting between top studio heads and Joe Biden.  Only 6 months after the meeting, a massive international commando raid was accomplished on Kim DotCom.

The head of the MPAA (lobbying agency for motion pictures) is former Senator Chris Dodd who is known to be good friends with Vice President Joe Biden.

The major investor in Youtube was legendary venture firm Sequoia Capital .  The Sequoia partner was on the board of both Youtube and Google. Erich Schmidt told the Google Board that Youtube was worth 600-700 million dollars. In the end Google paid 1.65 billion for Youtube.

In the end the Youtube founders knew Mike Moritz. Kim Dotcom knew celebrities which got MegaUpload major attention, which led to the MPAA head Chris Dodd looking to make an example by calling his friend Vice President Biden.

It is all about who you know.