Meta Faces €91 Million Fine for Storing Passwords in Plaintext: A Major Data Security Lapse, here is what to know.

In a significant blow to Meta, the Irish Data Protection Commission (DPC) has imposed a hefty fine of €91 million on the tech giant. This penalty comes after an investigation revealed that Meta had stored user passwords in plaintext, a serious lapse in data security protocols.

The Investigation and Findings from DPC on Meta

The DPC launched its inquiry in April 2019, following Meta’s notification about the inadvertent storage of passwords without encryption. This investigation uncovered multiple breaches of the General Data Protection Regulation (GDPR). Specifically, Meta failed to notify the DPC of the data breach, did not document the breaches properly, and neglected to implement adequate security measures to protect user passwords.

The Gravity of the Meta Security Lapse

Storing passwords in plaintext is a critical security flaw. It exposes users to significant risks, including unauthorized access to their social media accounts. The DPC emphasized that such sensitive information should never be stored without cryptographic protection. This breach affected hundreds of millions of Facebook users and millions of Instagram users.

Meta’s Response

Meta responded promptly to the findings. The company stated that the issue was identified during a routine security review in 2019. They assured that there was no evidence of internal abuse or improper access to the stored passwords. Meta took immediate action to rectify the error and notified the affected users.

The Implications for Data Security

This incident underscores the importance of robust data security measures. Companies handling sensitive user information must ensure that they employ the highest standards of data protection. The fine serves as a stark reminder of the consequences of failing to comply with GDPR regulations.

Conclusion

The €91 million fine against Meta highlights the critical need for stringent data security practices. As digital platforms continue to grow, the responsibility to protect user data becomes even more paramount. This case serves as a cautionary tale for other companies to prioritize data security and adhere to regulatory standards.

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