A hacker named “Peace” is bringing chaos to the internet giant just as its sale to Verizon is pending.
Yahoo has confirm a massive data breach of its service, according to several sources close to the situation. The company was the victim of hacking that has exposed several hundred million user accounts.
While sources were unspecific about the extent of the incursion, since there is the likelihood of government investigations and legal action related to the breach, they noted that it is widespread and serious.
Earlier this summer, Yahoo said it was investigating a data breach in which hackers claimed to have access to 200 million user accounts and one was selling them online. “It’s as bad as that,” said one source. “Worse, really.”
The announcement, which is expected to come this week, also has possible larger implications for the $4.8 billion sale of Yahoo’s core business — which is at the core of this hack — to Verizon. The scale of the liability could bring untold headaches to the new owners. Shareholders are likely to worry that it could lead to an adjustment in the price of the transaction.
That deal is now moving to completion, but the companies cannot be integrated until it is approved by a number of regulatory agencies, as well as Yahoo shareholders. Representatives of Verizon and Yahoo started meeting recently to review the Yahoo business, so that the acquisition would run smoothly once complete.
