In 2014, one of the original Internet search engines and portals, Yahoo!, was breached by hackers. The hackers stole account information for approximately 500 million of their users. While Yahoo! was not a high risk site like a bank or a medical provider, the impact of that massive data theft was immense.
The National Law Review summarizes the impact in their article, Lessons from the Yahoo Data Breaches (So Far):
- Internal costs of the breach and investigation were $16 million dollars.
- Yahoo! was fined $35 million for filing false statements related to the breach.
- Market capitalization declined $1.3 billion dollars.
- Yahoo!s sale price decreased by $350 million dollars.
Even for websites and services considered low risk, the impact of a data breach or other technology event can be very expensive.