Samsung’s LoopPay was recently victim of a cyber attack from China, according to a report from The New York Times earlier this week. Customer data is not at risk, Samsung said Thursday.
The hacks began back in March, the news outlet said, and were organized by two groups known as Sunshock and Codoso, who were “after the company’s technology,” The New York Times said, pointing to LoopPay’s unique ability to process contactless payments with the same magnetic strip readers used to swipe credit and debit cards.
“Samsung Pay was not impacted and at no point was any personal payment information at risk,” Samsung said. “This was an isolated incident that targeted the LoopPay office network, which is a physically separate network from Samsung Pay.”
An expert with FireEye speaking to The Wall Street Journal suggested that LoopPay may have been a target during the acquisition process as a possible way into Samsung, and because startups have “relatively weak security.”