What he's saying (I think) is that MegaUpload wasn't simply a service provider.
They got their hands dirty and actively participated in paying to "seed" their own service with popular copyright-protected movies, TV shows, etc.
IIRC they also paid for data center services hosted within the U.S. to ensure Americans had quick access to those services (including the deliberately-seeded IP-regime media files).
You'll note that the Feds aren't going after Google Drive, Youtube, Dropbox, iCloud, whatever Microsoft's cloud offering is called, etc., and yet those services are just as capable of uploading media and hosting it publically.
They got their hands dirty and actively participated in paying to "seed" their own service with popular copyright-protected movies, TV shows, etc.
IIRC they also paid for data center services hosted within the U.S. to ensure Americans had quick access to those services (including the deliberately-seeded IP-regime media files).
You'll note that the Feds aren't going after Google Drive, Youtube, Dropbox, iCloud, whatever Microsoft's cloud offering is called, etc., and yet those services are just as capable of uploading media and hosting it publically.