Megaupload's business model was pretty much exactly the same - but with "any" file instead of just images.
If the UK version didn't have ads, and UK-focused ads at that, they might have a point - but I don't see any "false equivalence" here.
And playing games about "indirectly" monetizing people (through ads or similar) doesn't mean they aren't /customers/. Otherwise every consumer law would be trivially worked around.