MediaDefender Leaks Cost The Company $825,000
Written by Ernesto on November 20, 2007The anti-piracy organization MediaDefender lost $825,000 as a result of the leaked emails according to a recent filing submitted to the Securities and Exchange Commission (SEC). It is beginning to look like they have to walk the plank to bankruptcy after all.
This September we were the first to report that nearly 700mb of MediaDefender’s emails leaked on BitTorrent. The leaked emails gave the world a unique insight into the workings and the effectiveness of their BitTorrent decoy operations and revealed much more sensitive information.
The leaked emails were published by a group that goes by the name “MediaDefender-Defenders” and they were soon followed by other leaks such as a tracking database, a phone call and several anti-piracy tools.
From a recent SEC filing by MediaDefender’s parent company ArtistDirect we now learn that these leaks have cost the anti-piracy company some serious cash, $825,000 to be exact. Most of the money, $600,000, was spent to compensate their customers and the rest of the money was used to cover legal expenses.
In the SEC filing we read: “MediaDefender recorded approximately $600,000 for service credits to customers, which were recorded as a reduction to revenues during the three months ended September 30, 2007. This amount was determined based on various factors, including discussions with customers, and is subject to adjustment in future periods based on additional information. MediaDefender also recorded approximately $225,000 of legal, consulting and other direct costs related to the breach during the three months ended September 30, 2007.”
Surprisingly, the company does not think that the leaks have hurt the goodwill of MediaDefender on the long run, well, I hope for them that future clients don’t use Google then.
(via P2P-Blog)
Previously: Anti-Piracy Lobby Urges Sweden To Take Down The Pirate Bay
Next: PickyPirate: Metacritic Meets BitTorrent
60 Responses
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Pwned
Aw, only six figures? I thought for sure we could crack seven =(
We need to try harder.
AHhahahahahha hahahhAHhahahahahha hahahhAHhahahahahha hahahhAHhahahahahha hahahh
Pwned! ! !
That’s what i am talking about. I think MPAA/RIAA/CRIA deserve the same shit.
lets see what we see next in torrentfreak.
Torrentfreak is my fav source, always kept me updated!!!
awesome :D suck it MediaDefender!
PWNED! :D
The Pirate Bay has just crashed.
Here we can see the first company which dies due to file sharing!!!
However we will not miss you…
;-D
Nothing quite like a million dollar kick to the balls.
Nice one.
If u interesting in downloading by torrent client and u looking for good invite from good web site go through this link http://tracker-invites.org/index.php?referredby=2546 and make registry and have invite and trade invite also good luck
fucking owned
Stupid jackasses! Hahahahaha!
Lol, just noticed that Axxo’s rips is available once again on TPB but now thanks to regular users.
Hopes Axxo sees this! ;D
Oh yeah, I came…
Thanks to hackers who fucked MD.
Dont mess with P2P or you will get fucked :) thats the message :)
anti-piracy companies are a hydra. One goes down, two more will spring up.
Hell yeah, you wanted to fight back well there it is, ownage.
If only I could buy everyone in MDD a beer, im drinkin one just for them.
TO VICTORY!
im really annoyed! i was hoping it would go into billions…
isnt it so pathetic, they had to pay $600000 to companies they screwed over, haha
[quote comment="220191"]anti-piracy companies are a hydra. One goes down, two more will spring up.[/quote]
Touché.
Though is this actually true? There don’t seem to be that many, and a BT site is way easier to start than a company.
*** Attention ***
In case MediaDefender goes bankrupt we shall all pause our torrents for the duration of one minute.
Let us show MediaDefender that one pirate can understand another.
[quote comment="220288"]*** Attention ***
In case MediaDefender goes bankrupt we shall all pause our torrents for the duration of one minute.[/quote]
lawl amen to that
Amusingly, I heard that most of their customers were jumping ship to Macrovision. Guess Macrovision continued their fine history of pissing away a good opportunity, because that project got cancelled last week.
So sad. Poor bastards.
Na na na na, na na na na, hey hey hey
GOODBYE! :)
“anti-piracy companies are a hydra. One goes down, two more will spring up.”
You got it all wrong, it’s more like this:
anti-piracy companies are a hydra. One goes down, two more will go down.
*High Fives MDD*
Anything that causes bullshit company to lose money is a good thing. Now if only the CRIA/RIAA/MPAA would follow suit and leak all their e-mail…
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