AT&T And Snowflake Stocks Slide On Friday - What's Going On

AT&T Inc T and Snowflake Inc SNOW stocks are trading lower Friday after AT&T disclosed a fresh data breach that allowed cybercriminals to steal the phone records of "nearly all" customers.

A separate TechCrunch report claimed that the hackers stole records from the cloud data giant Snowflake during data thefts targeting Snowflake's customers.

On April 19, 2024, AT&T discovered a threat actor who claimed to have unlawfully accessed and copied AT&T call logs.

The investigation revealed that between April 14 and April 25, 2024, threat actors accessed an AT&T workspace on a third-party cloud platform and exfiltrated files containing customer call and text interaction records from May 1 to October 31, 2022, and January 2, 2023.

The breach also affected customers of other cell carriers using AT&T's network.

While the stolen data does not contain call or text content, it includes metadata like the total count of calls, texts, and call durations, TechCrunch said.

Some records have cell site identification numbers, which can approximate the location of calls and texts.

AT&T spokesperson Andrea Huguely told TechCrunch that the company plans to notify approximately 110 million customers about the breach.

Huguely told TechCrunch that the stolen records were taken from Snowflake.

The U.S. Department of Justice allowed a delay in public disclosure on May 9 and June 5, 2024, determining it was warranted.

Cybersecurity firm Mandiant, called in by Snowflake, reported that about 165 customers had significant volumes of data stolen, TechCrunch said.

The breach is attributed to a financially motivated cybercriminal group, UNC5537, with members in North America and Turkey.

AT&T stated it does not believe the stolen data is publicly available and is working with law enforcement to apprehend those responsible.

The company confirmed that one person, though not an AT&T employee, has been arrested in connection with the breach.

As of this filing, AT&T does not believe that the incident will materially impact its operations or financial condition.

This marks the second security incident for AT&T this year.

Price Actions: T shares traded lower by 2.76% at $18.34 premarket at the last check on Friday. SNOW is down 4.16% at $132.60.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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