T-Mobile Settles for $31.5M, Pledges Major Cybersecurity Overhaul After Multiple Breaches

October 1, 2024
T-Mobile Settles for $31.5M, Pledges Major Cybersecurity Overhaul After Multiple Breaches
  • T-Mobile US has reached a $31.5 million settlement to bolster its cybersecurity following a series of network intrusions that impacted millions of customers from 2021 to 2023.

  • The settlement includes a $15.75 million civil penalty payable to the US Treasury and an equal investment in enhancing its information security program over the next two years.

  • The FCC accused T-Mobile of violating the Communications Act of 1934, which mandates carriers to protect customer data and implement reasonable cybersecurity measures.

  • This settlement follows at least seven significant IT security breaches experienced by T-Mobile over five years, resulting in the theft of tens of millions of customer records.

  • Recent breaches compromised sensitive personal information, including names, addresses, Social Security numbers, and driver's license numbers of millions of customers.

  • In early 2023, a hacker accessed customer information through a frontline sales application using stolen credentials obtained via phishing attacks.

  • To prevent future breaches, T-Mobile has committed to a 'zero trust' security framework, requiring authentication for access between different sections of its network.

  • Key improvements mandated by the settlement include appointing a chief information security officer and implementing phishing-resistant multi-factor authentication.

  • T-Mobile's chief information security officer is now required to provide regular cybersecurity status reports to both the company's board and the FCC.

  • The FCC described the settlement as a significant step towards protecting sensitive data for millions of customers and a model for the mobile telecommunications industry.

  • FCC Chairwoman Jessica Rosenworcel emphasized the need for robust cybersecurity protections in the telecom sector, highlighting mobile networks as prime targets for cybercriminals.

  • Similar settlements have been reached with other telecom companies, including AT&T and Verizon, in relation to data breaches, reflecting a growing trend of accountability in the industry.

Summary based on 9 sources


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