I'm pretty sure most people commenting don't even know what happened in this Megan Meier case. A grown woman pretended to be a teenage boy on the myspace and befriended a young girl, probably engaging in some sort of pedophiliac cyber-activities along the way.
Then, when this grown woman felt this young girl was sufficiently attached to this made up boy, this grown woman proceeded to tell her how fat and ugly she was and how no one liked her.
Thinking all these insults were coming from a boy her age that she trusted and loved this girl became completely distraught, as young girls tend to be in these types of situations,and because children have no scope on life she killed herself thinking the world had ended already. This grown woman that harrasted a young girl until she killed herself got one year's probation and a $5,000 fine.
However, the biggest issue isn't this "cyber-bullying," it's the "faceless anonymity." If they got rid of that, there wouldn't be a problem. Existing laws regarding harrassment would be enforceable in cases of cyber-bullying if you could prove who did what. The internet needs to be completely wiped out and redone without the anonymous part.
If everyone had to give thier social security number or similiar personal information to register for email accounts, forums, games, myspace, etc. it would be much less likely for things like this to happen and would be infinately easier to prosecute offenders. But, this will never happen because everyone is afraid everyone else will find out about thier pron habits.