PayPal Dumped Cloud Company After It Refused To Monitor Customers' Files (fortune.com)

German Dropbox rival Seafile claims PayPal dropped it as a customer after it refused to comply with the payment services company's demand to spy on its users' data. In a blog post, the company informed its customers that they can no longer pay for the service using PayPal -- the only payment method that Seafile currently relies on. CEO Silja Jackson told Fortune, "We're looking into alternative payment services, but currently we're running a cloud service and not getting paid." Founded in 2009, Seafile has over 250,000 users, many in universities. The service offers an open-source file-synchronization system that organizations can install on their own servers -- for a fee, if they want enterprise features -- and last October the firm decided to also start offering a paid version that's hosted on Seafile's German servers, for individuals and small businesses.