Categories Technology

Data security slip-up casts shadow over Amazon’s holiday sales

The social media was abuzz with messages shared by Amazon (AMZN) customers about the exposure of their personal information on the online platform. In yet another episode of data-breach involving tech companies,  names and email addresses of several Amazon customers got leaked in cyberspace Wednesday.

Interestingly, the incident occurred just ahead of Thanksgiving Day and Black Friday, taking the sheen off the e-commerce giant’s busy weekend sales. This is the time of the year when people start thronging the website for shopping. Having set the tone for the holiday sales by rolling out promotional offers a week ago, the Amazon site is currently busy taking orders.

The incident occurred just ahead of Thanksgiving Day, taking the sheen off the company’s busy weekend sales

While communicating the matter to the affected customers, Amazon attributed the slip-up to a ‘technical error’. The company also claimed to have resolved the issue and informed customers that there is no need to change the passwords. While the email containing the message is believed to have been sent to customers around the world, there is no clarity on the number of persons affected and the extent to which security was compromised.

An individual’s personal information, such as phone number and email ID, falling into the wrong hands is of serious consequences as the same could be used for spamming and cyber-attacks. Some of those who received the email have expressed concern over the general laxity on the part of the company in maintaining the confidentiality of those who use its website.

Retail sector may be heading to a dry holiday season

Presuming that the company acted in accordance with the recent order by European regulators that data breaches should be brought to the users’ notice within three days, the latest incident appears to have occurred recently. Under the revised rules, Amazon is obliged to inform the matter to the authorities in charge of cybersecurity in the respective regions.

Meanwhile, the market was slightly moved by the whole incident and Amazon shares pared some of their early gains as trading progressed on Wednesday.

 

Follow our Google News edition to get the latest stock market, earnings and financial news at your fingertips

Most Popular

United Parcel Service (UPS) seems on track to regain lost strength

Cargo giant United Parcel Service, Inc. (NYSE: UPS) ended fiscal 2023 on a weak note, reporting lower revenues and profit for the fourth quarter. The company experienced a slowdown post-pandemic

IPO Alert: What to look for when Boundless Bio goes public

Boundless Bio is preparing to debut on the Nasdaq stock market this week, and become the latest addition to the list of biotech firms that have launched IPOs this year.

Nike (NKE) bets on innovation and partnerships to return to high growth

Sneaker giant Nike, Inc. (NYSE: NKE) has been going through a rough patch for some time, with sales coming under pressure from weak demand and rising competition. Post-pandemic, the company

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top