"Resumption of MGM Resorts Computer Systems After 10-Day Outage Sparks Analyst Interest in Casino Cyberattack Fallout"

MGM Resorts successfully restored its computer systems on September 20th, following a 10-day disruption caused by a ransomware attack. The company took this action to safeguard critical data, including hotel reservations and credit card processing. While MGM Resorts is relieved that its operations are back to normal, the aftermath of this cyberattack has drawn the attention of analysts and experts.

The Las Vegas-based company confirmed the cyberattack, which was detected on September 10, and assured the public that all its hotels and casinos are functioning as usual. However, specific details about the extent of the breach and the compromised information, as well as the financial impact on the company, were not immediately disclosed.

Caesars Entertainment, a rival casino operator, also revealed that it experienced a cyberattack on September 7. Although its casino and online operations remained unaffected, the safety of personal data for millions of customers, including driver's licenses and Social Security numbers of loyalty rewards members, remained uncertain. It is widely reported that Caesars paid a $15 million ransom out of a $30 million demand by a group called Scattered Spider to secure the compromised data. Gregory Moody, director of the cybersecurity program at the University of Nevada, Las Vegas, estimated that the daily cost of the computer shutdown to MGM Resorts could be up to $8 million, potentially totaling $80 million. However, it's worth noting that MGM Resorts generates over $14 billion in annual revenue, averaging at least $270 million in weekly revenues.

MGM Resorts confirmed that systems handling various services like resort amenities, dining, entertainment, pools, and spas were operational, with their website and app accepting dining and spa reservations. The company was actively working to restore hotel booking and loyalty reward functions.

While the FBI's investigation into the cyberattack is ongoing, experts believe that these incidents have exposed significant cybersecurity vulnerabilities at both MGM and Caesars, dispelling the notion of casinos being invulnerable to such threats. Experts recommend that all casinos should enhance their defensive measures and thoroughly assess their system integrity, possibly activating their incident response protocols. Caesars Entertainment, the world's largest casino owner, and MGM Resorts, Nevada's largest private employer, are expected to disclose the effects of these attacks in their quarterly reports to the Securities and Exchange Commission next month.

The cyberattack on MGM Resorts has been attributed to Scattered Spider, a group known for operating under a Russia-based operation called ALPHV or BlackCat. However, there are conflicting reports about their involvement.

Lisa Plaggemier, executive director at the nonprofit National Cybersecurity Alliance, emphasized the importance of investing in employee training and cybersecurity to address significant security gaps, reducing the risks of downtime and financial losses.

Ultimately, these cyberattacks highlight that even well-prepared and technically advanced companies may still face security breaches, emphasizing the need for continuous vigilance in the face of evolving cyber threats. https://www.securityweek.com/mgm-resorts-computers-back-up-after-10-days-as-analysts-eye-effects-of-casino-cyberattacks/