The file-hosting service Megaupload, founded by Kim Dotcom in 2005, served as a global repository for digital content until the United States Department of Justice shuttered the site in 2012. This event ignited a protracted legal struggle over copyright infringement and racketeering allegations that has spanned more than a decade of international judicial proceedings.
Early Hacking and Legal Troubles in Germany
Born Kim Schmitz in Kiel, West Germany, in 1974, he gained notoriety as a teenager under the alias Kimble. He claimed to have breached security at NASA, the Pentagon, and Citibank, though these feats were debated. By 1993, he operated the House of Coolness bulletin board. His legal record began in 1994 with an arrest for trafficking stolen phone calling card numbers, followed by a 1998 conviction for eleven counts of computer fraud and ten counts of data espionage.
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In 2001, he leveraged his position as an investor in the failing company Letsbuyit.com. By publicly announcing a false intention to invest €50 million, he inflated share prices and secured a profit of €1.5 million. He later fled to Thailand to escape German investigations but was deported in 2003. Upon returning to Germany, he pleaded guilty to embezzlement and served five months in custody before receiving a suspended sentence.
Megaupload and New Zealand Extradition
Dotcom moved to New Zealand, obtaining permanent residency in 2010. Following the 2012 seizure of Megaupload, New Zealand police raided his Coatesville mansion at the request of United States authorities. Since then, he has fought extradition on charges including money laundering and criminal copyright infringement. In August 2024, his extradition order was signed, though he continues to pursue judicial review while remaining in New Zealand.
Political and Secondary Business Activities
Beyond his file-hosting ventures, he founded the Internet Party in New Zealand. The organization contested the 2014 general election alongside the Mana Movement and participated independently in 2017, failing to secure legislative seats in either attempt. He also launched the cloud storage service Mega in 2013, though he terminated his association with the business two years later.
Fast facts
- Born: 1974, Kiel, West Germany
- Original name: Kim Schmitz
- Megaupload operating period: 2005–2012
- Permanent residency, New Zealand: 29 November 2010
- Extradition order signed: 15 August 2024
- Citizenship: Finland and Germany
Questions readers ask
What is the current status of the Megaupload extradition case?
The extradition order was signed on 15 August 2024, but Dotcom remains in New Zealand while seeking judicial review of the decision.
Did Kim Dotcom hold political office in New Zealand?
No, he founded and funded the Internet Party, but the party did not win any seats in the 2014 or 2017 general elections.
Achievements
- Worked as entrepreneur, computer scientist and programmer
