Yahoo Data Breach of 2013
Welcome to our new series, Breach of the Week! In this series, we’ll explore some of the most notorious cyber attacks, data breaches, and security incidents that have impacted the digital world. Each post will not only detail the events but also emphasize the lessons learned to help you enhance your cybersecurity practices.
In our first post, we examine the Yahoo Data Breach of 2013. This breach, one of the largest in history, affected 3 billion user accounts and had significant financial repercussions. We’ll cover how the attackers gained access, the impact on Yahoo and its users, and the critical lessons that can be drawn from this incident. Stay tuned to learn more about this and other major breaches, and how we can all work towards a more secure digital future.
Breach Breakdown
- Date: August 2013
- Impact: 3 billion user accounts
- Financial Impact (Estimated): The breach led to a $117.5 million class-action lawsuit settlement and a $35 million fine from the U.S. Securities and Exchange Commission. Additionally, it affected the sale price of Yahoo to Verizon, reducing it by $350 million
- Summary: In August 2013, Yahoo experienced one of the largest data breaches in history, affecting all 3 billion user accounts. The breach was not publicly disclosed until December 2016, leaving users unaware of the potential risks for over three years. The stolen information included names, email addresses, phone numbers, birthdates, and security questions and answers, which could be used for identity theft and other malicious activities.
- Attack Vectors: The attackers gained access through a spear-phishing email sent to a Yahoo employee. Once inside, they installed a backdoor on a Yahoo server, allowing them to steal a backup copy of Yahoo’s user database. The attackers used stolen cryptographic values to generate access cookies, enabling them to access user accounts without passwords.
- Lessons Learned:
- Timely Disclosure: Companies must promptly disclose breaches to affected users and regulatory bodies to mitigate damage and maintain trust.
- Employee Training: Regular training on recognizing phishing attempts and other social engineering tactics is crucial.
- Robust Security Measures: Implementing strong security protocols, including multi-factor authentication and regular security audits, can help prevent unauthorized access.
- Third-Party Security: Ensure that third-party vendors and partners adhere to stringent security standards.
- Incident Response Plan: Develop and regularly update an incident response plan to quickly address and contain breaches.