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Sony Hit Hard by Security Breach: May Announce Annual Loss

For a moment, let's forget the credibility dent caused by PlayStation Network Outage and just focus on the monetary loss. Now, that Sony is finally picking up the pieces and is getting the network back on its feet (albeit, not without problems), it is also trying to gauge the monetary loss caused by the problem.

The already troubled company is estimated to have lost $171 million, thanks to the hackers infringing upon its territory. Sony also warned that it may also have to post annual loss, which would complete its hat-trick of disappointing results. Sony's losses for the year are likely to be around $3.2 billion. After two years of red results, the company was hoping to post profits this time, but things were just not meant to be. Though, Sony claimed that there are no confirmed reports that the identities were actually compromised.

Sony projected the overall cost of breach at $171 million which includes lost revenue, security overhaul, legal fees and the cost of providing customer support. Sony also launched a "Welcome Back" program, designed to lure back the users.  Under this program, Sony is offering free games and services to make up for the lost time and inconvenience. It has added some big names such as Dead Nation and Wipeout HD to the goodie bag.

Apart from free games, PlayStation Network users will also get access to some services, without incurring any cost. If you are a PSN users but do not subscribe to Sony's premium service PlayStation Plus, then you can try out this service for one month, free of cost. If you already use this service, then your 60-days subscription fee will be waived off. The cost of this entire promotional program is also included in $171 million package.

Sony is having a bad streak lately. First, Japanese earthquake and Tsunami hit its production facilities, then PSN outage, now let's just hope that the beleaguered company gets it users back on the grid again, real soon.

 

 

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An absolute tech junky, I graduated from the University of Manchester with a degree in Computing and now live on the outskirts of Leeds working with you guessed it, Computers. I love all things gadgety but really dislike wires. For those of you who haven’t worked it out the name of the site is a combination of my nickname (Gaj) and the pronunciation ‘Gadget’.
UK Gadget and Tech News, Reviews and Shopping
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