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Megaupload Shut Down and Kodak Files for Bankruptcy January 20, 2012

Heard a couple of headlines that shook me off from my dreamy state this morning.

First, Megaupload has been shut down by the feds for violating piracy laws. (BBC News)

megaupload shut down

Megaupload, one of the internet’s largest file-sharing sites, has been shut down by officials in the US.

The site’s founders have been charged with violating piracy laws.

Federal prosecutors have accused it of costing copyright holders more than $500m (£320m) in lost revenue. The firm says it was diligent in responding to complaints about pirated material.

The news came a day after anti-piracy law protests, but investigators said they were ordered two weeks ago.

The US Justice Department said that Megaupload’s two co-founders Kim Dotcom, formerly known as Kim Schmitz, and Mathias Ortmann were arrested in Auckland, New Zealand along with two other employees of the business at the request of US officials. It added that three other defendants were still at large.

 

Second, Kodak has already filed for bankruptcy after more than a century of serving the world of photography. Here’s a quick overview of the article from CNNMoney.

Kodak Bankruptcy

NEW YORK (CNNMoney) — Eastman Kodak, the once mighty icon of the photography industry, filed for Chapter 11 bankruptcy protection Thursday.

Kodak’s (EKFortune 500) stock plunged 35% at the start of trading. The New York Stock Exchange suspended trading within a few minutes after the opening bell.

The company said it has obtained $950 million in financing from Citibank to maintain operations. The company said the credit facility is still subject to court approval.

Kodak said it has enough liquidity to continue operating during the bankruptcy process.

Kodak acknowledged, in its Chapter 11 filing, that it had more than 100,000 creditors, with debts totaling $6.75 billion.

Kodak company also said that it had assets of $5.1 billion, with properties in Rochester, N.Y., Windsor, Colo. and Weatherford, Okla.

Kodak’s top creditor is the Bank of New York Mellon (BKFortune 500) in its role as trustee for other bondholders, with claims of more than $650 million.

 

Even big companies can suddenly shut down just like that. I was even more surprised with Kodak. They were pioneers for films and the company has survived more than a century until now. Just sad that they weren’t able to go with the current digital trends. I can probably speculate that it all boils down to vision and leadership? I’m no entrepreneur, although I plan to be. Anyway, they should have already foreseen the upcoming trends. They can probably either compete with the current trends or set their own way back then. I guess it was the right decision. Kodak is outshone by Nikon, Canon and even Sony. During the past decade it was like they have already set out their own extinction in the field.

 

conceptual age

Currently more and more businesses are engaging themselves to the online industry. Service providers such as law firms, clinics, accounting firms and other fields are also into the world wide web. At some point, it adds credibility to the company or organization. Some would hire IT companies to do strategic IT alignment for them just to merge the business goals and technology for a more efficient production, which I think is a smart move. We are in the information age after all, but we are moving on with the Conceptual Age.

The Information Age is an era that began in the 90s decade where progress is based on how much knowledge and information we acquire. In the Conceptual Age on the other hand, gears toward innovation and creativity (idea came from Daniel Pink). This means that though information and labor may still have its place for progress, but to gain an edge, innovation should be incorporated. This is the reason why investing on technology is important. New ideas may come up anytime, but the vehicle for its execution might not be that simple.

Anyway, I have to go. Haven’t had lunch yet.