Facebook share price down 1% after user passwords exposed
The social media app's stock is down after news that user passwords were exposed to employees.
Facebook share price is down after another data breach issue. The social media app has to deal with users’ passwords being exposed without their knowledge.
How were Facebook users’ passwords exposed?
Facebook’s latest data breach happened when a security research blog discovered that 600 million users’ passwords were not encrypted and stored in plain text. The passwords could have been easily seen and searched by the company’s employees for almost seven years.
Pedro Canahuati, Facebook’s vice president of engineering, security, and privacy, noted that the data breach was found as part of a routine security check.
‘As part of a routine security review in January, we found that some user passwords were being stored in a readable format within our internal data storage systems,’ said Canahuati.
Canahuati said that though the passwords were exposed to employees, users shouldn’t fear that they were misused by Facebook staff.
‘Our login systems are designed to mask passwords using techniques that make them unreadable. To be clear, these passwords were never visible to anyone outside of Facebook and we have found no evidence to date that anyone internally abused or improperly accessed,’ added Canahuati.
Facebook said that the corporation will notify the affected users, many of whom used the Facebook Lite app.
How will Facebook fix this latest data breach?
Facebook has faced many data breach issues over the past year. In the spring of 2018, the company faced scrutiny for a data mining scandal in which customers’ personal information was collected without their knowledge. Mark Zuckerberg, chief executive officer, (CEO), of Facebook, pledged to act to preserve visitors’ privacy.
Scott Renfro, a Facebook developer, said that the corporation is working to address this latest security lapse.
‘This prompted the[Facebook developer] team to set up a small task force to make sure we did a broad-based review of anywhere this might be happening. We have a bunch of controls in place to try to mitigate these problems, and we’re in the process of investigating long-term infrastructure changes to prevent this going forward,’ said Renfro.
IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.
The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. Please see important Research Disclaimer.
Please also note that the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.
Seize a share opportunity today
Go long or short on thousands of international stocks.
- Increase your market exposure with leverage
- Get spreads from just 0.1% on major global shares
- Trade CFDs straight into order books with direct market access
Live prices on most popular markets
- Forex
- Shares
- Indices
See more forex live prices
See more shares live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
See more indices live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.