T-Mobile has announced its plan to compensate customers who were affected by a substantial data breach. The company is set to distribute $350 million to its customers.

What Happened: In 2021, T-Mobile suffered a significant data breach that impacted approximately 76 million people. The breach exposed sensitive data such as names, Social Security numbers, and birth dates. The breach was executed by John Binns, an American hacker based in Turkey, who exploited a misconfigured internet-exposed router to infiltrate T-Mobile’s internal network.

According to an update on the T-Mobile Data Breach Settlement website, payments to affected customers are expected to commence in April.

Customers who incurred out-of-pocket losses could claim up to $25,000, while others may receive $25, or $100 for Californians, with no additional steps required for eligible class members.

Also Read: TD Bank Confirms Data Breach: Account Numbers and Sensitive Customer Info Exposed

The compensation is a result of a class-action lawsuit that T-Mobile decided to settle rather than dispute in court. Customers who used T-Mobile in 2021 can reach out to the administrator on the settlement’s website or call 1-833-512-2314 for more information.

Why It Matters: The data breach has significantly impacted T-Mobile’s reputation and customer trust. The company’s decision to compensate its customers is a crucial step towards rebuilding that trust.

However, it also highlights the importance of robust cybersecurity measures in protecting customer data.

The incident serves as a reminder for other companies to ensure their networks are secure to prevent similar breaches in the future.

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