South Korea orders SK Telecom to compensate users after hack, marking rare win for consumers

SEOUL: Millions of South Koreans had their personal information exposed earlier this year when hackers targeted SK Telecom, the country’s largest mobile carrier. Now, the nation’s consumer protection authority is stepping in to make sure affected customers get some relief.

On Sunday, the agency announced that SK Telecom must compensate 58 individuals who filed a class-action complaint over the breach. Each person will receive 100,000 won (around S$87) through a combination of points that can be used like cash and discounts on their mobile bills.

The move comes after a serious cybersecurity lapse in August, which not only exposed the private data of more than 20 million users but also resulted in a 134 billion won fine for SK Telecom—one of the largest penalties in South Korea’s tech industry.

The consumer agency is pushing for even broader compensation for all users affected by the breach. If extended nationwide, the total payout could reach roughly 2.3 trillion won, underscoring the massive scale of the incident and the financial toll on the company.

The agency said it will officially inform and advise SK Telecom of the directive shortly, providing the company 15 days to answer.