TalkTalk hit by a cyberattack

TalkTalk CEO, Dido Harding, insisted that the firm’s cybersecurity was “head and shoulders above” that of its competitors.

766-Harding-634

CEO Dido Harding: fighting for customers' trust

Personal data on four million customers, potentially including bank details, was stolen from UK telecoms group TalkTalk in an "significant and sustained" attack by hackers last week, the company said. TalkTalk CEO, Dido Harding, insisted that the firm's cybersecurity was "head and shoulders above" that of its competitors, but TalkTalk was unable to confirm how much of the information was encrypted in the first place. A 15-year-old teenager from Northern Ireland was arrested, and subsequently bailed, in connection with the attack.

What the commentators said

Now this latest security breach "could well leave an indelible stain" on the company's reputation, said Stephan Shakespeare in City AM. TalkTalk has already decided to pull its advertisements from the X-Factor to cut public exposure for a while, but this "shift in marketing will not erase consumers' fears". Yet it's not only TalkTalk that needs to learn hard lessons from this incident. Data breaches of this kind are increasingly common. They can continue to damage a company's brand "long after a hackerhas been caught and prosecuted".

As cybercrime is becoming increasingly common, firms need to reassess their security measures. "If you can't secure your customers' data, you will find it difficult to secure their trust."

Recommended

The Federal Reserve wants markets to fall – here’s what that means for investors
Stockmarkets

The Federal Reserve wants markets to fall – here’s what that means for investors

The Federal Reserve’s primary mandate is to keep inflation down, and lower asset prices help with that. So, asks Dominic Frisby – just how low will st…
25 May 2022
Let’s adjust to living with Covid and get Britain back to work
UK Economy

Let’s adjust to living with Covid and get Britain back to work

The Covid-19 era is over, leaving a stagnant and lethargic workforce in its wake. It’s time to wake up, says Matthew Lynn.
25 May 2022
Four high-quality US stocks to give shelter from the storm
Share tips

Four high-quality US stocks to give shelter from the storm

Professional investor Timothy Parton of the JPMorgan American Investment Trust picks four solid US stocks to buy now.
24 May 2022
Three undervalued mid-cap stocks with attractive prospects
Share tips

Three undervalued mid-cap stocks with attractive prospects

Professional investor Katen Patel of the JPMorgan Mid Cap Investment Trust picks three fast-growing mid-cap stocks to buy now.
24 May 2022

Most Popular

Everything is collapsing at once – here’s what to do about it
Investment strategy

Everything is collapsing at once – here’s what to do about it

Equity and bond markets are crashing, while inflation destroys the value of cash. Merryn Somerset Webb looks at where investors can turn to protect th…
23 May 2022
Imperial Brands has an 8.3% yield – but what’s the catch?
Share tips

Imperial Brands has an 8.3% yield – but what’s the catch?

Tobacco company Imperial Brands boasts an impressive dividend yield, and the shares look cheap. But investors should beware, says Rupert Hargreaves. H…
20 May 2022
Three high-quality FTSE 100 shares going cheap
Share tips

Three high-quality FTSE 100 shares going cheap

As stockmarkets continue to fall, bargains are starting to appear, says Rupert Hargreaves. Here, he picks three high-quality FTSE 100 shares that are …
23 May 2022