Sorry Sir, Our Data Breach Response Plan is Out of Stock
Data breach penalties could cost U.K. companies £122B in 2018
European Union – General Data Protection Regulation (GDPR)

Sorry Sir, Our Data Breach Response Plan is Out of Stock

By Cameron Abbott, Michelle Aggromito and Max Evans

We are living in an era of online shopping, where consumers are more willing to hand over personal information for goods and services, and are less suspicious of whom they are divulging their personal information to. As a result, online businesses are in possession of a vast amount of their customers’ personal information. The recent hack of Sneaker Platform Stock-X reminds us yet again of the importance of businesses maintaining comprehensive and up to date security processes, and in particular, the necessity of having an adequate data breach response plan in place.

Stock-X, a platform for the re-sale of sneakers and apparel, was recently hacked, exposing over six million users’ personal data, including their real name, username, password, shoe size and trading currency. According to a Report by TechCrunch, Stock-X’s initial response was to reset customer passwords, stating that it was due to system updates. A spokesperson for Stock-X later disclosed to TechCruch that Stock-X was alerted to “suspicious activity”. TechCrunch reports; however, an unnamed data breach seller had contacted it claiming more than 6.8 million records were stolen from Stock-X in May, and that the records had been put up for sale and sold on the dark web for $300.

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Data breach penalties could cost U.K. companies £122B in 2018

By Cameron Abbott and Rebecca Murray

U.K. businesses could face up to £122 billion in penalties for data breaches when EU legislation comes into effect in 2018, according the Payment Card Industry Security Standards Council (PCI SSC). The EU’s General Data Protection Regulation (GDPR) will introduce fines for groups of companies of to €20 million or 4% of annual worldwide turnover, significantly higher than the current maximum of £500,000. This means that if data breaches remain at 2015 levels, the fines paid to the European regulator could see a near 90-fold increase, from £1.4 billion in 2015 to £122 billion, the PCI SSC calculated. For large U.K. organisations, this could see regulatory fines for data breaches soar to £70 billion, more than a 130-fold increase, rising to an average of £11 million per organisation. Regulatory fines for SMEs could see a 57-fold increase, rising to £52 billion, averaging £13,000 per SME. Read more at ComputerWeekly.com by clicking here.


European Union – General Data Protection Regulation (GDPR)

by Jim Bulling and Julia Baldi

The European Union has indicated an intention to finalise the General Data Protection Regulation (GDPR) before the end of 2015. This has the potential to effect Australian companies operating or storing data in Europe.

See the EU press release here.

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