Yahoo Pays For Data Breach
Yahoo are being forced to pay out £39 million ($50 million) in damages after a data breach in 2013 led to three billion accounts being taken by hackers. According to the Associated Press the money will be used to help the 200 million affected by the hack.
Yahoo originally revealed the issue after being sold to American communication company Verizon for £270 million ($350 million). The price was reported to have been lowered significantly because of the issues the data breach has caused. It’s believed Verizon will be paying half the costs with the other half being paid by Altaba Inc. Altaba Inc are the company set up to hold Yahoo’s investments within the Asian markets.
“The price was reported to have been lowered significantly”
It’s believed Yahoo themselves will pay £27 million on lawyers and court fees as well as offering US based users affected by the breach credit monitoring services for two years. Claims for the compensation can be made through Yahoo with a eligible Yahoo account. Its being reported that account holders who have suffered will be compensated £19.33 ($25) per hour for time spent dealing with issues caused by the hack.
- £39 Million to be paid out in total divided by Verizon & Altaba Inc.
- £270 Million was the reduced price for Yahoo because of the data breach.
- £27 Million to be paid by Yahoo to cover court costs & offering affected users two year credit monitoring.
- £19.33 to be paid out per hour for affected users.
- Yahoo Premium users to be given a 25% refund.
The report that was read heard that users had documented losers for up to 15 hours of lost time resulting in a maximum return of £289 ($325). It also heard premium Yahoo users who paid up to £39 ($50) for an email account will be eligible for a 25% refund.