Kim Dotcom has announced today that he is planning to move his privacy services away from New Zealand to a new base – Iceland, if the proposed spy laws are enacted by the government.


Yesterday, two of the top secure email services announced their suspension following pressure from law enforcement agencies and as preventive measures to ensure that customer’s data is safe. Lavabit, which was used by Snowden, announced that it was under pressure from the US Government and that it was concerned that it may be dragged into the spying drama because of which it has taken such a drastic step. Silent Circle on the other hand suspended its services as a precautionary measure.

Dotcom is planning to release two new services under the Mega banner which would be spy-proof – a messaging service and a secure email service. Dotcom has invested heavily in New Zealand and it was the default choice for launching such services but, considering the recent development about NSA spying, the Mega owner is led to believe that spying is rampant in New Zealand as well.

Under the proposed bills in New Zealand, telecom providers will be forced to provide interception capabilities to police, security and other such law enforcement agencies such that they can have access to citizens’ communication channels. If formally accepted, the new bills will give New Zealand’s spy agency GCSB a whole lot of powers such that it will have access to design and operations of all telecom operators in the country.

Kim Dotcom is not alone in this as Microsoft has also announced its concerns over the proposed bills. The Windows 8 maker suggested last week that it may withdraw from New Zealand if the bills were passed as they represent a threat to industry.

Dotcom has urged companies that provide privacy and encryption services to move to countries that are privacy friendly like Iceland.