Uber paid hush money to hackers when security breach happened

Data of 57 million Uber riders and drivers was compromised

A Bloomberg report has revealed that Uber hid information about a massive security breach that compromised both rider and driver accounts - and allegedly paid off hackers to keep it quiet.

Massive breach of trust

How big was this breach? Apparently 57 million customer and driver accounts were affected. And according to Bloomberg, the hackers behind it were paid US$100,000 to keep mum about it.

Uber's chief security officer and one of his deputies have been ousted for their role in hiding the massive breach, which exposed names, email addresses and phone numbers. Uber claims that Social Security numbers, credit card information and various other data were not taken.

Now the company says it has a legal obligation to report the hack to regulators as well as affected drivers. In a statement, new CEO Dara Khosrowshahi said: "We are changing the way we do business."

Whether or not that happens, this alarming revelation will certainly further erode trust in a company often criticised for its less-than-ethical behaviour. Khosrowshahi has a lot of cleaning up to do.

[Source: Bloomberg]