Remember Guidance Software, the security firm that helps companies identify when a hacker has compromised their systems, but then proceeded to lose data on their own customers? It's finally settled with the FTC, for in the government's words it failed to, "...implement simple, inexpensive and readily available security measures to protect consumers' data. In contrast to claims about data security made on Guidance's Web site, the company created unnecessary risks to credit card information by permanently storing it in clear readable text." So basically, it was total negligence from a company that should have known much better. For most companies, one data breach probably wouldn't damage their reputation too much, but when it's so closely related to your company's mission, and you've received such a harsh rebuke from the FTC, it's hard to see their reputation not taking a hit.
If you liked this post, you may also be interested in...
- As Yet Another Free Trade Agreement Fails To Deliver, Why Should People Believe USTR's Claims About TPP's Huge Benefits?
- Law Enforcement Fails To Pay Telco Bills For Coughing Up Your Info
- UK Police Target Advertising On Infringing Sites, Opens Door For Scammers And Malware Purveyors
- DHS Interrogates NY Times Reporters At Border, Then Denies Having Any Records About Them
- How Not To Deal With Plagiarism