TSMC impacted byRansomware Attack, LockBit crime group demand $70 Million

TSMC, the semiconductor giant, has been targeted by the LockBit group. The LockBit group claims to have gained access to sensitive information belonging to TSMC and is demanding a ransom of $70 million.

They have set a deadline of August 6, after which they plan to publicly expose all the stolen data. According to TSMC, the recent attack did not impact its business operations or compromise any customer information.

TSMC revealed that the security breach occurred through one of its IT hardware suppliers, Kinmax Technology, a Taiwanese company specializing in cloud computing, networking, and security. Kinmax's clients include major companies like Microsoft and NVIDIA.

UPDATE - A subgroup within the LockBit operation that calls itself the National Hazard Agency claimed that it has given TSMC up to Aug. 6 to pay the multimillion-dollar ransom or risk having the company's stolen data publicly leaked. The threat actor claimed that it would also publish what it described as "points of entry" into TSMC's network as well as passwords and login information for gaining access to it.

The stolen information primarily consisted of default configurations of system installations provided to Kinmax's customers.

While Kinmax has publicly apologized to its affected customers, no specific company has been named as being impacted. Kinmax has pledged to strengthen its security measures to prevent similar incidents in the future.

TSMC reassured the public that thorough checks and security configurations are conducted on all hardware components before they are integrated into its system.

Following the incident, TSMC immediately terminated its data exchange with Kinmax in accordance with its security protocols. TSMC has launched an investigation in collaboration with law enforcement agencies to address the cybersecurity incident.