According to the company’s website, 24 million account holders have been asked to reset their passwords after detecting a cyber attack. CEO Tony Hsieh sent out an e-mail to users on Sunday stating, “We were recently the victim of a cyber attack by a criminal who gained access to parts of our internal network and systems through one of our servers in Kentucky.” The company will send another e-mail to its account holders with further instructions to reset their passwords.
Zappos reported that hackers gained access to its customers’ e-mail addresses, names, billing and shipping addresses, phone numbers, the last four digits of credit card numbers, and converted passwords. Full credit card numbers and other payment information were not hacked because they were stored in a separate database. Zappos is temporarily turning off its phone and will answer all inquiries by e-mail. In an e-mail, Hsieh said “We’ve spent over 12 years building our reputation, brand, and trust with our customers. It’s painful to see us take so many steps back due to a single incident.”