Fifteen million dollars, plus regular data-security audits and mandated changes in business practices. That's what ChoicePoint will pay to settle charges it violated consumer privacy rights when it unwittingly sold more than 163,000 customer records to fraudsters. ChoicePoint ushered in our current state of data insecurity, as one of the first companies stung in a big way by having to reveal its mistakes under data-disclosure laws.
The $10 million civil-penalty portion of the fine is the largest single fine in Federal Trade Commission history. In comparison, the state of California last year slapped a division of Kaiser Permanente with a $200,000 penalty for a breach that affected 150 customers, as states stepped up enforcement, too.
State disclosure laws brought these breaches to light, yet they continue. Last week, Ameriprise Financial said unencrypted data, including Social Security numbers of 226,000 customers and employees, was stolen from a laptop. The worker who downloaded the data was fired.
ChoicePoint CEO Derek Smith, in case you were wondering, remains in his job.
IT's Reputation: What the Data SaysInformationWeek's IT Perception Survey seeks to quantify how IT thinks it's doing versus how the business really views IT's performance in delivering services - and, more important, powering innovation. Our results suggest IT leaders should worry less about whether they're getting enough resources and more about the relationships they have with business unit peers.
What The Business Really Thinks Of IT: 3 Hard TruthsThey say perception is reality. If so, many in-house IT departments have reason to worry. InformationWeek's IT Perception Survey seeks to quantify how IT thinks it's doing versus how the business views IT's performance in delivering services - and, more important, powering innovation. The news isn't great.
InformationWeek Must Reads Oct. 21, 2014InformationWeek's new Must Reads is a compendium of our best recent coverage of digital strategy. Learn why you should learn to embrace DevOps, how to avoid roadblocks for digital projects, what the five steps to API management are, and more.