After a class-action lawsuit was launched against T-Mobile in August, the firm agreed to pay $350 million to consumers whose personal information had been taken in a cyber assault.
Following its disclosure in August that personal data including social security numbers had been stolen in a hack, T-Mobile has agreed to pay $350 million to consumers affected by a class action lawsuit.
The mobile phone operator said in a filing with the Securities and Exchange Commission on Friday that the cash will cover claims by class members, legal expenses for plaintiffs’ counsel, and settlement administration costs. In addition, it stated it will invest $150 million in data protection and other technology in 2018 and 2023.
There is no acknowledgment of blame or wrongdoing by any of the defendants in the settlement, according to T-Mobile.
According to the firm, it anticipates the terms of the settlement to be approved by the court as early as December 2022.
The breach had an impact on around 80 million people in the United States. Names and other personal information from driver’s licences and other forms of identification were among the data that was compromised.
When T-Mobile, located in Bellevue, Washington, acquired rival Sprint in 2020, it became one of the country’s three major mobile service providers. After the merger, it claimed to have a total of 102.1 million users in the United States.
During the second quarter, T-Mobile plans to report pre-tax charges of around $400 million.