T-Mobile hit with $60M fine for data security violations
CFIUS alleges T-Mobile failed to prevent unauthorized access to sensitive data and report the breach
Largest penalty ever imposed by the committee
WASHINGTON, D.C. — The Committee on Foreign Investment in the United States (CFIUS) has fined T-Mobile US Inc. $60 million, the largest penalty ever imposed by the committee, for failing to prevent unauthorized access to sensitive data and failing to report the breach in a timely manner.
The fine stems from a 2021 cyberattack in which hackers accessed the personal data of approximately 50 million T-Mobile customers. The company did not disclose the breach to CFIUS for several months, violating the terms of the agreement it reached with the committee in 2018 when it acquired Sprint.
In a statement, CFIUS said that T-Mobile's "failure to comply with its obligations under the CFIUS Mitigation Agreement is a serious matter." The committee also said that the fine "reflects the severity of T-Mobile's misconduct and the need to deter future violations of CFIUS orders."
T-Mobile has agreed to pay the fine and has taken steps to improve its cybersecurity practices. The company has also agreed to provide CFIUS with regular reports on its progress in implementing these measures.
The CFIUS fine is the latest in a series of regulatory actions against T-Mobile. In 2020, the Federal Communications Commission (FCC) fined the company $27.5 million for misleading customers about its unlimited data plans.
Key Points:
- CFIUS has fined T-Mobile $60 million for data security violations.
- The fine is the largest ever imposed by the committee.
- T-Mobile failed to prevent unauthorized access to sensitive data and failed to report the breach in a timely manner.
- The company has agreed to pay the fine and has taken steps to improve its cybersecurity practices.
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