Megaupload founder Kim Dotcom has stepped down as director of the new 'Mega' cloud hosting service he launched in January.

Dotcom has decided to free up time for other projects, including “on-going legal battles and his political aspirations”. Tthe entrepreneur is also working to launch a new music service.

Mega was founded a year after controversial file-sharing site Megaupload was raided in 2012. In a matter of days the site’s membership went from zero to more than a million. The ...