Sony Faces Record Fine for PlayStation ID Hacking


By: Umair Yousuf  |   January 24th, 2013   |   Business, Gadgets, Games

Sony faced huge criticism after millions of users’ personal details as well as credit card information was leaked online by hackers in April 2011. Now Sony Computer Entertainment, the division which oversees the famous PlayStation line of consoles, has been punished with a record fine for failing to take measures to protect user privacy.

 

Working under the Data Protection Act, the Information Commissioner’s Office announced that the security breach was being taken very serious and Sony Computer Entertainment has been fined a massive £ 250 million for failing to take adequate measures.

 

Through its investigation the office found that the leak could have been protected with updated security measures while it also found that Sony handled user information in a non-secure manner leading to the breach.

 

With everything from user names, passwords, personal information as well as credit card information leaked online, Sony faced huge criticism from all quarters with its share price plunging after the revelation.

 

Additionally due to the breach Sony’s previous Chief Executive, Sir Howard Stringer was forced to make a humble apology.

 

Speaking about the reasoning behind the massive fine David Smith, the ICO’s deputy commissioner and director of data protection said:

 

“The penalty we’ve issued today is clearly substantial, but we make no apologies for that. The case is one of the most serious ever reported to us. It directly affected a huge number of consumers, and at the very least put them at risk of identity theft.”

 

Sony’s PlayStation Network is used by millions of users around the world to buy games, movies and other services.

 

Source: Guardian

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