Photobucket faces backlash after demanding $400 a year for hotlinking

With little to no warning, Photobucket has demanded $400 per year if users want to place images hosted on the site into other sites, such as forums and eBay/Amazon listings.

The move has brought small online businesses to a screeching halt, as the pictures of their products have be unilaterally replaced with a Photobucket error image demanding payment.

The ransomware like maneuver has been called extortion and blackmail by an outraged user base.

In part, it reflects the high cost of image hosting which larger firms like Facebook and Twitter can absorb, but threatens the bottom lines of smaller players.

(via The Verge)