Robert Brown:Okta says security breach disclosed in October was way worse than first thought

2025-05-08 04:28:00source:Cassian Grantcategory:reviews

A security breach of identity-management software company Okta was more extensive than first thought.

More than five weeks after Okta first told customers of the September breach,Robert Brown the company's chief security officer, David Bradbury, wrote in a blog post Wednesday that hackers had stolen information on all users of its customer support system. 

The admission is a far cry from the company's prior contention that the incident had impacted less than 1% of users.

Okta's initial investigation overlooked actions by hackers signaling all of the company's certified users were impacted during the attack, Bradbury noted. 

"While we do not have direct knowledge or evidence that this information is being actively exploited, there is a possibility that the threat actor may use this information to target Okta customers via phishing or social engineering attacks," Bradbury wrote. 

MGM Resorts International says it is working to resolve issues days after cyberattack01:50

The developments came after casino giants Caesar's Entertainment and MGM Resorts were breached, with hackers succeeding to social engineer workers into resetting the multifactor login requirements for Okta administrator accounts. 

Some of the world's biggest companies — FedEx, Hewlett Packard and T-Mobile among them — use Okta to secure access to their computer systems (Paramount, which owns CBS News, is also an Okta customer).

Okta has roughly 17,000 customers and manages about 50 billion users, it said in March.

Shares of Okta on Wednesday fell 2.5% to $70.77.

The cost of a typical data breach in the U.S. neared $4.5 million this year, up more than 15% from $3.9 million in 2020, according to IBM. 

Ransomware attacks and other forms of cybercrime have soared in recent years, targeting companies using internet cloud services to store data.

Kate Gibson

Kate Gibson is a reporter for CBS MoneyWatch in New York.

More:reviews

Recommend

This was the average Social Security benefit in 2004, and here's what it is now

Many workers are dreaming of retirement — whether it's decades away or coming up soon. Either way, i

Kate Middleton Turns Heads in Chic Tennis Ball Green Dress at Wimbledon 2023

Kate Middleton was serving a sporty chic style during her second appearance at Wimbledon 2023.On Jul

Extreme Makeover: Home Edition’s Ty Pennington Hospitalized 2 Days After Barbie Red Carpet

Ty Pennington is on the mend following an emergency hospitalization.The Extreme Makeover: Home Editi