Out of Pod Experience

Not surprising, I wouldn't doubt rapidshare and fileplanet is next.

The key point is proving they profited from the piracy itself.

Lots of criminals use phones. Some get caught with wire taps, others get away with it. The phone company execs are not going to be arrested. There has to be something else going on like a deal they had with the people running sties to link them to megaupload, use megaupload, or megaupload owners themselves operating sites that use piracy to funnel business to themselves.

You may have noticed adult video links on forums are largely done through Oron now. They have been doing something over the last few years to corner that 'market' and get that member and advertisement money. I have seen more than one adult forum go to Oron-only, and something must be motivating those people to find and proliferate that material.. namely money...

I would expect them to be next, but it really comes down to opportunity.
We may simply not have the chance to arrest them.

The internet is about the free exchange of other people's work

How could that happen ?
The US has no jurasdiction over whats on servers in Hong Kong.

Mind you with this SOCA/PIPA stuff looming this will happen alot more if the bill gets passed

Where am I supposed to download my extra sleazy hentai manga from now on?

Mega Upload being closed down has nothing to do with SOPA or PIPA, but everything to do with them doing stuff they shouldn't while profiting first hand from it.

I think the key point is the facilitating piracy period.
Honestly, more sites should be taken down for enabling piracy, profiting or not from it.

You people realise that these sites aren't only used for piracy, right? As far as I'm concerned people who demand free stuff can go to hell, but the US is shooting down anything they feel like with no due process. Providing a service that pirates as well as decent people use is no crime. This is like shutting down the trains because sometimes criminals ride them.

I'm the first to admit argument by analogy is the lowest form of logic; I only used it because the circumstances are that nutty.

I'll chuck another one your way:

If I copied a file from a computer, but did not take/remove the original file - have I stolen the original file?

The entertainment industry does generate a lot of revenue - why do they take zero effort to protect their investments through technology and working with (not against) technology manufacturers?

To give you an answer due to your specific phrasing, no, you did not steal the original file as it is still on the computer. But you did steal the movie if:
A. We are not discussing a digital download copy that comes with modern movies now, in which case you paid for it
B. You got the original file from a site without spending a cent on the film itself

I download music all the time from youtube. It doesn't mean that I'm physically sucking the upload off of somebodies account, but it does mean that I'm getting something for free by a means outside of what the industry intended.