Economy

Uber hacked, didn't say a word for a year

Uber hacked, didn't say a word for a year

Hackers have stolen personal data for 57 million Uber customers and drivers, the ride-hailing company said Tuesday.

Payments to hackers are not shared publicly however Federal Bureau of Investigation official have told that many companies are paying criminal hackers to recover stolen data.

The new management of San Francisco-based Uber said on Tuesday that it had only learned recently that personal information from about Uber 57 million accounts had been stolen in 2016. However, the database that was breached did contain names and driver's license numbers of around 600,000 drivers. The former CEO remains on the Uber board of directors, and Khosrowshahi has said he consults with him regularly.

Uber said earlier this month it had struck an agreement to allow Japan'sSoftBank Group to invest up to $10 billion, most of it by buying shares from existing investors. Companies frequently accidentally keep credentials in source code that is uploaded to GitHub, he said.

"We are aware of press reports describing a breach in late 2016 at Uber and Uber officials' actions after that breach". Uber paid the hackers in an effort to hide the breach and said it subsequently identified the individuals involved and "obtained assurances" that the downloaded data had been destroyed. The laws generally apply if a victim of a hack lives in that state. Did Uber security have any monitoring in place to alert them when such vast amounts of data were accessed?

Paying hackers to return data is common practice. We think this was wrong, which is why we are now taking the actions we've described. "We are closely evaluating the serious issues raised".

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Tech Crunch also added that Uber could face problems in their home state of California for the attempted data breach cover up.

The company also settled FTC allegations that it made deceptive privacy and security claims in August.

"Not only will 2018 see this mandated by GDPR [EU's General Data Protection Regulation], but it is vital to ensure that even in the wake of a breach customers do not lose total faith in a brand's ability to protect their data", he said.

Other countries have similar rules regarding breaches.

"Deliberately concealing breaches from regulators and citizens could attract higher fines for companies", Dipple-Johnstone said.

In terms of scale, Uber's hack doesn't measure up to other major breaches. The leaked information included names, email addresses, and phone numbers.

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Uber has set up a website for users who have been affected.

Dara Khosrowshahi's appointment as head of Uber Technologies last summer was supposed to mark the beginning of a new chapter.

Grossman says the breach may not change consumer behavior, but it will be costly for the company. The simple fact is that when this kind of thing happens, your customer base and bottom line are going to suffer so it has to be dealt with responsibly.

The hack is another controversy for Uber on top of sexual harassment allegations, a lawsuit alleging trade secrets theft and multiple federal criminal probes that culminated in Kalanick's ouster in June. The two employees were removed this week. Joe Sullivan, Uber's chief security officer, is no longer with the company, it said.

Khosrowshahi inherited a litany of scandals and a toxic workplace culture when he replaced Kalanick.

Uber is expected to go public in 2019.

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