Yahoo! Charged By SEC, Agrees to Pay $35 Million

Discussion in '[H]ard|OCP Front Page News' started by rgMekanic, Apr 25, 2018.

  1. rgMekanic

    rgMekanic [H]ard|News Staff Member

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    Following the 2014 data breach that left some 500 million users affected, the company formerly known as Yahoo has agreed to pay a $35 million penalty to settle charges that it misled investors for failing to disclose the breach. The Securities and Exchange Commission states that Yahoo's security knew about the attack within days, but failed to disclose it until more than 2 years later.

    I wonder how much the fine will be for the 2013 attack that wasn't disclosed until 2016 where 1 billion accounts were compromised, making it the largest security breach in history. At least the fine was more than the CEO got paid for getting fired over it. I'd guess that Verizon is having $4.48 billion in buyers remorse since no one has even heard of "Altaba" Thanks to cageymaru for the story.

    “We do not second-guess good faith exercises of judgment about cyber-incident disclosure. But we have also cautioned that a company’s response to such an event could be so lacking that an enforcement action would be warranted. This is clearly such a case,” said Steven Peikin, Co-Director of the SEC Enforcement Division.
     
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  2. Spaceninja

    Spaceninja [H]ard|Gawd

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    Who still uses Yahoo for anything? The last time I saw a Yahoo page was on a customers system and the thing had more ads than content.
     
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  3. oROEchimaru

    oROEchimaru [H]ardness Supreme

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    so it was cheaper to pay the fine than higher security analysts and fix stuff lol
     
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  4. WhoMe

    WhoMe Gawd

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    My mom for her mail. I've set her up alternatives. Showed her how easy they were to use...but still she goes back and keeps using Yahoo. But hey I finally got her to start using duckduckgo for searches...so that's progress (and she's 85 so it's probably good she even uses a computer ;) ).
     
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  5. Big_Rig_Stig

    Big_Rig_Stig Gawd

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    I still use their email...
     
  6. Big_Rig_Stig

    Big_Rig_Stig Gawd

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    Not to mention the bailout for the fired CEO...
     
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  7. KedsDead

    KedsDead [H]Lite

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    Yahoo CEO be like "So some quick math here... 500mill divide by 35mill... $14.28 per member..... and we get how much per member, when we sell there info.. Perfect, we still made a profit.. "
     
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  8. ir0nw0lf

    ir0nw0lf [H]ardness Supreme

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    Damn, pretty sure I'll get tossed under a bus for this: I use Yahoo for news and secondarily for searches. Just what I am used to using. I now fully expect bus tire tracks on my back now. :LOL:
     
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  9. Lakados

    Lakados Gawd

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    It's not enough, Yahoo is being held accountable to it share holders but not its customers this is not enough. There should be a value to what our personal data is worth, I wonder if your personal data is copy-writable.... I mean each of us is a unique existence so our personal data is unique in itself any sharing of that data intentional or otherwise with out our permission would constitute a breech of copyright and they could be sued accordingly. I wonder if the MPAA would like to take this one on as their existing business strategy is beginning to fail it would open them up to a whole new consumer base.

    Anybody for a brainstorming session?
     
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  10. zkostik

    zkostik Gawd

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    Yeah, color me not surprised. For them 35M is really not much especially given the fallout and scale of that leak. It probably is indeed cheaper to just pay to get out of this. IMHO fines for this sort of stuff should be WAY more substantial, like so it REALLY hurts.
     
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  11. Dead Parrot

    Dead Parrot [H]ard|Gawd

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    The fine was about 7 cents per user. As long as they made more then 7 cents per user on ad sales or selling the collected data, still profit. And this is for the 500M user breach. Bet the cost to Verizon/Yahoo for the large one isn't much different. What's really scary is the 500M user breach ISN"T the large one.
     
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  12. sfsuphysics

    sfsuphysics I don't get it

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    Gotta love America, you fine a company for not letting investors know of potential problems, meanwhile the information of people get strewn all over the place and well fuck them because they're making money off this company.
     
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  13. gwarren007

    gwarren007 [H]ardForum Junkie

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    We have a junk mail addy from Yahoo.
     
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  14. Big_Rig_Stig

    Big_Rig_Stig Gawd

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    And I'm just the s'cool bus driver to do it to ya:
    s%20one%20of%20the%20most%20popular%20wheelstanders%20out%20there.%20Photo%20by%20James%20Morgan.jpg
     
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  15. Big_Rig_Stig

    Big_Rig_Stig Gawd

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    I think you're absolutely right, but fuck the MPAA: get the EFF and the ACLU in on it. I'm certain their lawyers are a tad better at that.
     
  16. Big_Rig_Stig

    Big_Rig_Stig Gawd

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    But when they pay more for politicians than they do in fines, it's not surprising at all.
     
  17. IcePickFreak

    IcePickFreak Gawd

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  18. KedsDead

    KedsDead [H]Lite

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    Facebook would never allow this to happen.. Corporate control over our government and all.. And if it did happen, you know they ( and all the others ) would just put up all that data in a huge fire sale..
     
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  19. Lakados

    Lakados Gawd

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    Yeah I 100% agree, but there is something supremely funny about the MPAA suddenly being the good guys for once.
     
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  20. katanaD

    katanaD [H]ard|Gawd

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    really need a video of that !!
     
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  21. Rahh

    Rahh [H]ard|Gawd

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    An absolutely shit ton of people?
     
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  22. Flapjack

    Flapjack 2[H]4U

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    I find it hilarious that people are actually wasting time doing the math to divide this penalty up among users. Do people really not understand that these penalties by the SEC and FTC (as well as other regulatory agenciesa gencies) go to special interest groups and friends in industry? Maybe, MAYBE if investors are lucky, they'll see a part of the fine. But by and large, fines from regulations go to funding government cronyism. It's racketeering at its finest, and both major parties are culpable:

    https://www.alternet.org/economy/bank-fines-and-crime