Tech News and Opinions (by Paul Spain)

World's biggest security breach as 77 million users data stolen from Sony PlayStation Network and Qriocity service?

, posted: 27-Apr-2011 18:38

In what may be the biggest ever publicly disclosed hacking incident - Sony's PlayStation Network and Qriocity service has been broken into. It seems possible that the network could be down for weeks (if not months) if Sony are are to fully address the concerns of their global customer base.

Media indicates that personal data of some 77 million users has been compromised - including passwords - and most likely also credit card details too. Sony have give details via their US PlayStation website (see below).

The indicdent first become public knowledge last week when Sony took the PlayStation Network and Qriocity service offline following admission their network had been compromised. Today they admitted just how serious and widespread the issue was (following initial suggestions that the outage would last 1-2 days).

The statement that Sony have released indicates that the network was compromised and data stolen during the period 17-19 April 2011. They now have an external security audit being undertaken to find out what happened and how they can secure customer data in the future.

The question now is what will be the impact on Sony's PlayStation brand? Will customers trust them going forward or will they move to competitors products? And how will this security breach impact the long term value of Sony as a company or will it mark a decline in the company's share price and future earnings?

Today's update from Sony US can be found here: US announcement and similar NZ announcement. Interestingly it wasn't deemed important enough by Sony to get an obvious mention on their US or other national homepages.

The matter was also discussed on the latest episode of the NZ Tech Podcast which will be released online this evening.

To be updated if more information comes to hand be sure to follow on Twitter @PaulSpain

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