The Great LivingSocial Password Robbery

The Great LivingSocial Password RobberyThe Great LivingSocial Password RobberyForget about the great train robbery, in this day and age, personal information stored online might prove to be far more valuable to thieving minds and hearts than just cold, hard cash, although I think that cash alone would still be the prime motivator for many a thief. Apparently, online deals service LivingSocial mentioned at the end of last week that their website was compromised, and the personal data of over 50 million customers could very well have been compromised.

According to LivingSocial, if you have registered with them, your name, email addresses, date of birth and encrypted password could have been compromised in the hacking incident. LivingSocial went on to say that their database which holds your credit card information was not accessed or affected, but we can only go so far and take their word for it. LivingSocial is currently working alongside law enforcement officials to investigate the attack, and have done their bit to contact customers in just about all of the countries where it has operations in. Hopefully other group buying sites like Microsoft’s recently introduced Bing Offers would not be affected.

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Investors give LivingSocial another $110 million

LivingSocial Inc. has just received another $110 million from its current group of investors who still have hope in the daily deals company. The investors are still fighting for LivingSocial, despite the whole $650 million net loss that it reported in 2012, as well as the $558 million loss it reported in 2011. The company had to lay off around 400 employees back in November, as well as its Senior Vice President, Dickson Chu, back in July.

Investors give LivingSocial another 110 million dollars

LivingSocial CEO, Tim O’Shaughnessy sent an e-mail out to all of his employees saying that the $110 million investment will be used to “build our reserves, solidify our long-term plans and execute against our vision for the future”. This should provide a boost in morale for its employees, because if its investors are still willing to bet on it, there might still be hope yet.

The list of investors who shelled out $110 million wasn’t released, but Amazon could have been on that board. Amazon has a 30% stake in LivingSocial, and for one of the most successful e-commerce sites, it’s going to do its best to make sure its investment doesn’t go sour. O’Shaughnessy did say, however, that LivingSocial had multiple options for funding.

O’Shaughnessy has high hopes for this year, and has stated that by Springtime, LivingSocial will begin to see profits. LivingSocial isn’t the only daily deals site that’s having it rough. Groupon, the other well-known daily deals site, who 12 months after it went public, reported that their IPO pricing of $20 plummeted 88%. Hopefully with this newly acquired money, LivingSocial will be able to get itself out of its slump.

[via Washington Business Journal]


Investors give LivingSocial another $110 million is written by Brian Sin & originally posted on SlashGear.
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