Feeds

PlayStation Network breach will cost Sony $171m

And counting

Beginner's guide to SSL certificates

The cost of a criminal intrusion that exposed sensitive data for more than 100 million Sony customers and resulted in a 23-day closure of the PlayStation Network will cost the company at least $171 million, executives said.

The estimated cost doesn't included expenses related to any lawsuits that may be filed in response to the security breach, which was discovered on April 19. The estimate includes expenses of an identity theft prevention program and promotional packages to win back customers, among other things.

"So far, we have not received any confirmed reports of customer identity theft issues, nor confirmed any misuse of credit cards from the cyber-attack," Sony told investors. "Those are key variables, and if that changes, the costs could change."

The figures supplied by Sony beats initial estimates of costs resulting from other large data breaches. In 2007, retailer TJX Companies set aside $118 million to cover a database hack that exposed data for at least 45.6 million payment card accounts. Heartland Payment Systems reserved about $105 million for lawsuits related to costs in an attack that allowed hacker and carder Albert Gonzalez to obtain records for as many as 100 million cards.

Some Sony PlayStation Network services still have not been brought back online. The PlayStation Store, for instance, remains down, closing a venue that allowed the company to sell downloadable games.

Sony said the effects of the March earthquake the struck Japan will be about $268.9 million. The company said its loss for the fiscal year that ended on March 31 will be about $3.18 billion. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Musicians sue UK.gov over 'zero pay' copyright fix
Everyone else in Europe compensates us - why can't you?
Bladerunner sequel might actually be good. Harrison Ford is in it
Go ahead, you're all clear, kid... Sorry, wrong film
I'll be back (and forward): Hollywood's time travel tribulations
Quick, call the Time Cops to sort out this paradox!
Megaupload overlord Kim Dotcom: The US HAS RADICALISED ME!
Now my lawyers have bailed 'cos I'm 'OFFICIALLY' BROKE
Forget Hillary, HP's ex CARLY FIORINA 'wants to be next US Prez'
Former CEO has political ambitions again, according to Washington DC sources
Euro Parliament VOTES to BREAK UP GOOGLE. Er, OK then
It CANNA do it, captain.They DON'T have the POWER!
prev story

Whitepapers

Free virtual appliance for wire data analytics
The ExtraHop Discovery Edition is a free virtual appliance will help you to discover the performance of your applications across the network, web, VDI, database, and storage tiers.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
5 critical considerations for enterprise cloud backup
Key considerations when evaluating cloud backup solutions to ensure adequate protection security and availability of enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.