In the shadows of the criminal case against Megaupload, another popular cyberlocker is quietly ending its own legal dispute. DepositFiles has settled the million dollar lawsuit adult magazine publisher Perfect 10 brought against them. The latter accused DepositFiles of engaging in and facilitating mass-copyright infringement and demanded a minimum of $5m in damages.
After losing access to their favorite file-hosting service last week, millions of former MegaUpload users have fled to the many alternatives available. Filefactory, Depositfiles and many of the other top cyberlockers have seen an unprecedented surge in traffic in recent days, showing that people haven’t stopped sharing even though the authorities have closed one of the main players in the business.