Since the government crackdown on Megaupload, the company hasn’t been able to pay the third-party companies that actually store all of its user data. Thus, according to the U.S. Attorney’s Office, the third parties will begin completely wiping Megaupload’s database by week’s end, putting the property of legit users in jeopardy.

Despite its position, Megaupload is fighting to keep its servers up. The company’s attorney Ira Rothken told the AP, “We’re cautiously optimistic at this point that because the United States, as well as Megaupload, should have a common desire to protect consumers, that this type of agreement will get done.”

Interestingly the U.S. Prosecutors office said that while it copied some of Megaupload’s data, it had no right to access any of it now that its search warrants have been executed.

[via AP via Mashable]