Bruce Schneier used Meganet and VME as a leading example of snake oil in a Crypto-Gram article three years back:
http://www.counterpane.com/crypto-gram-9902.html
His comments include "This makes no sense, even to an expert ... takes the ridiculous a step further ... This is not a proof. It isn't even close."
Of course the fact that Meganet don't communicate their claims well doesn't mean they haven't come up with something good. It's just that there's little reason to feel much confidence.
[Comment by Ivan Towlson to this log entry]
interesting article, makes me much more skepical. ofcourse, this is 3 years back, so we can only assume that if this stands, that eother it is the same hype reinvemted, or it actually works...