MGM cyber-attack's potential multimillion-dollar impact, say cybersecurity experts.
MGM Resorts is facing a cybersecurity breach that has caused disruptions to its operations, potentially costing the company millions of dollars per hour. The breach is believed to be financially motivated, and experts warn against paying the ransom demanded by the hackers. Customers are advised to be cautious of emails that appear to be from MGM and to monitor their credit reports for any suspicious charges.
LAS VEGAS (KLAS) -- The recent cybersecurity breach at MGM International has undoubtedly caused significant stress for the company's executives. While they have provided updates on their efforts to resolve the issue, it is uncertain when things will return to normal.
However, restoring normalcy may come at a high cost.
According to John Funge, the managing director of Data Tribe, a cybersecurity company, this particular incident is likely driven by financial motives. Funge has observed major corporations falling victim to cyber-attacks in the past.
On Monday evening, MGM Resorts issued an updated statement assuring that their resorts, including dining, entertainment, and gaming facilities, were fully operational and delivering the experiences they are known for. They also mentioned that guests could access their hotel rooms and that the front desk staff was available to assist them. The company expressed gratitude for their guests' patience.
However, on Tuesday morning, 8 News Now discovered that this was not entirely accurate.
At MGM Grand, nearly half of the casino floors with machines were out of service.
Funge explained that it is standard procedure to shut down systems to prevent further infection and worsening of the incident. However, this measure is costing the company potentially millions of dollars per hour. Funge suggested that the initial breach could have been as simple as an employee clicking on a malicious email.
"That was the starting point," Funge stated, highlighting that the hackers are likely waiting for a ransom payment. He emphasized that dealing with such large-scale breaches can cost well over $100 million.
While Funge advised against paying the ransom, he acknowledged that some companies opt to do so in order to resume normal business operations.
Although MGM executives have not confirmed Funge's claims regarding the extent of the breach, he cautioned that locals who have visited MGM establishments, engaged in gaming activities, or enjoyed a staycation may have had their information compromised.
Funge urged people to exercise caution when receiving emails that appear to be from MGM, thoroughly examining the URL for any signs of suspicious activity. He also advised individuals to review their credit reports for any unusual charges.