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T-Mobile Data Breach Raises Retail M-Commerce Concerns

Posted by John B. Frank Wednesday, June 10, 2009


Written by Evan Schuman
June 10th, 2009

Excerpts from StorefrontBacktalk.com

"As retail IT execs start to experiment with—and actually deploy—mobile-commerce applications more, the realization that they have to rely on their new telecom partners to safeguard their experimental data is proving to be unnerving.

Recent incidents involving T-Mobile—where the carrier was forced to confirm some claims of a supposed cyberthief who said that he had hacked in and stolen databases, documents and scripts—don’t help.

As e-tailers have learned the hard way from E-Commerce, customers don’t care about tidy legal contracts assigning responsibility and quality-of-service obligations.

If they go to a Wal-Mart or a Home Depot site and they have a bad experience—whether it’s with uptime, a FedEx delivery hiccup, incorrect status reports, a video consumer comment that glitches or anything else that the retailer may or may not be directly handling—those customers are going to blame Wal-Mart or Home Depot and might take their business elsewhere.

If M-Commerce is on your plate, you need to get used to living by the carrier’s standards. The T-Mobile situation is much more than unsettling. It’s also baffling, with the public positions taken by both T-Mobile and the supposed intruder internally contradictory. (When a company seems to contradict itself in mid-statement, times are tough. When both entities in a conflict do it, welcome to telecom security discussions)" 



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