Samsung Pay Reported To Be Unaffected By Hackers

Samsung Pay Reported To Be Unaffected By Hackers

The breach that was created by Chinese hackers on Samsung Pay has not been able to jeopardize the accounts of the users. The payment system called Samsung Pay received an alert when its subsidiary called LoopPay suffered from a network breach. The breach was created by hackers of the Chinese government. Samsung has since then issued a statement alleviating fears of having had accounts hacked. It has confirmed that the customers will find their data to be safe as Samsung Pay was not affected when hackers from China broke through the network of LoopPay, its US subsidiary.

The attack was discovered in the late week of August. The breach probably targeted to hack the office network of the company. However Samsung confirmed that no data of customers were put at risk due to the breach. The incident has been dealt with by LoopPay in a comprehensive manner as reported by Samsung. Even if the attack took place quite some time ago, the news was released only on Wednesday. A report was released on the New York Times where the group that was held responsible for the hacking was identified as Codoso Group, which is known to be an affiliation of the Chinese government.

As per the report the hackers wanted to gather details of the technology that were used by the company. They were not after gathering data of the customers or their payment transaction details. The attack caused a breach in the internal servers of LoopPay whose offices are located in Massachusetts.

LoopPay is a subsidiary company of the Korean electronics giant and it has been handling the mobile payment transactions even before the company launched the proprietary system called Samsung Pay. This app has been launched as a direct rival to Apple Pay. LoopPay has mastered the secure payment transaction technology due to which Samsung has taken over the company and acquired it for an amount of $250 million in the month of February this year. The magnetic form of secure transmission that is offered by LoopPay has been instrumental in setting Up Samsung Pay.

Samsung issued a statement assuring the public that Samsung Pay had not been impacted and no financial information or personal payment details were exposed through the breach. The isolated incident took place at LoopPay’s separate network. With LoopPay’s intellectual property being targeted by Chinese hackers, there is a hot topic brewing about this issue and how it can impact the relation between the two countries.

October 9th, 2015 by