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Cyberlockers are third party file-sharing – also known as “file hosting” – services. Examples of popular cyberlockers are DropBox, Hotfile, MegaVideo, and RapidShare. While there are practical applications for this type of service – such as transferring documents and photos between friends, or collaborating with remote colleagues – these file sharing merchants can also pose immense risk to acquirers. Cyberlockers have been repeatedly found to be associated with brand damaging, risky, or even illegal content, including violent video and intellectual property rights infringement. This business model is currently largely unregulated and very difficult to monitor, so acquirers should proceed with caution.

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