— This is the script of CNBC's news report for China's CCTV on October 4, Wednesday.
Indeed, last year, Yahoo announced that "1 billion of its user accounts were hacked" but this number is far smaller than what the latest investigation revealed. With the help of external experts, Yahoo concluded that the data breach in August 2013 may have affected all its user accounts. That means a total of 3 billion accounts were hacked and this is three times what Yahoo had previously disclosed. What is astonishing is that last year's data breach of 1 billion accounts was already the largest data breach in history. In fact, nobody expected that the actual breach is even larger than what was previously announced.
Yahoo said that it had since taken steps to protect all its users' accounts after their announcement last December on the data breach that happened in August 2013. This time round, Yahoo has informed all its users to change their password and to delete security questions and answers that are unencrypted. User data that were leaked included usernames, birthdates, email addresses, passwords, phone numbers, security questions and answers, so on and so forth. Furthermore, Yahoo also said that apart from the major data breach in 2013, Yahoo also lost 500 million accounts to hackers in 2014.
According to InfoArmor last year, hackers responsible for the data breach tried several times to sell the user data on black market networks at the price of 300,000 US dollars each to three buyers. Once again, this large-scale data breach serves as a reminder to the world's many technology firms. It is expected that in the next few years, we will see network security costs in major enterprises growing rapidly. Let's take a look at the estimates provided by Cybersecurity Ventures.
The economic losses caused by cybercrime are expected to reach $ 6 trillion in 2021, doubling to the $ 3 trillion in 2015. At the same time, it is expected that from 2017 to 2021, companies will spend more than $ 1 trillion on cybersecurity.
Also, there will be a higher demand for cybersecurity professionals. In 2016, there were one million cybersecurity job openings and demand is expected to rise. By 2019, cybersecurity professionals will be in short supply, with a projected shortfall of 1.5million.
Last year, Yahoo sold its core assets to Verizon, a major US communication company and Yahoo would operate under the name of Oath, a Verizon's subsidiary although Yahoo's mailbox and some other services with its original name will be retained.
CNBC's Qian Chen reporting from Singapore.