August 14, 2022

What you need to know

  • T-Mobile has agreed to pay a combined $500 million to settle a class-action lawsuit over a data breach that occurred in August of 2021.
  • The carrier will pay $350 million to pay lawyers, fees, and the customers.
  • The carrier must also spend $150 million on data security improvements over what it had already budgeted during 2022 and 2023.

In August of 2021, T-Mobile had a data breach that resulted in the data of millions of customers being exposed. As reported by the Verge, the carrier has agreed to pay a total of $500 million to settle a class action lawsuit over the data breach. This includes $350 million to pay lawyers, fees, and customers, plus $150 million the carrier must spend on information security over 2022 and 2023.

The data breach in August 2021 reportedly contained social security information, driver’s license information, and other customer information. The Verge points out that this breach was the fifth in four years. At the time, it wasn’t clear exactly how many customers were affected, although it’s estimated that as many as 76.6 million customers were affected.