In a tweet, Dotcom stated that the service will provide 50 GB of storage at no cost.
According to another tweet, he is working to find a solution that old Megaupload users will get their original data moved to the new mega service. Dotcom mentioned that the electronic Frontier Foundation (EFF) is supporting him to reach court permission to do so, even if it is unlikely that the movie and music industry representatives will agree.
Mega's 50 GB are significantly more space than the 7 GB Microsoft offers for Skydrive, Google's 5 GB for Drive, Box.net's 5 GB, and 2 GB that is offered free of charge by Dropbox.
The Mega service will be located at Mega.co.nz.