Uber forced to pay $150 million over data breach ‘cover-up’ allegations

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The now-infamous 2016 Uber data breach, which affected 57 million US citizens and the subsequent ‘cover-up’ from US regulations, was this month settled out-of-court for $148 million dollars. The story is in two parts. The first is an illegal cyber attack but the second part is a corporate cover-up that resulted in one of the most brand-damaging experiences ever faced by a digital platform.

The hack resulted in 57 million individuals data being accessed including nearly a million drivers licences. The failure to disclose the breach and the subsequent uncovering that Uber paid the hackers $100,000 to delete all evidence of the hack highlighted the negligence and criminality that was prevalent during this period of Uber’s development.

The case was brought against Uber by former drivers, customers along with the State of California, Cities of Los Angeles. The company admitted that it should have been more frank and forward with its customers. The company, now under new leadership, has strengthened reporting structures and introduced new processes.

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