At a Glance
GMO Internet will pay affected customers and offer everyone ¥5,000 ($32).
Park24 plans ¥3,000 payments following a data breach.
Japan recorded 723 cybersecurity incidents by October 20, surpassing 2024 and 2025 totals.
GMO shares plunged 15%, hitting a four-month low.
A growing wave of cyberattacks is forcing Japanese companies to compensate customers, strengthen security, and prepare for mounting financial losses.
Japanese businesses are facing mounting pressure as cyberattacks disrupt online services and expose weaknesses in customer data protection. Several companies have already announced compensation payments, while authorities are stepping up efforts to strengthen the country's cyber defences.
KEY DETAILS
GMO Internet Group, a major provider of online financial services, said it would compensate customers for losses linked to unauthorised access to its foreign exchange trading service. CEO Masatoshi Kumagai also announced a ¥5,000 ($32) goodwill payment for every customer.
The company received a ransom demand from a party believed to be behind the attack, accompanied by threats to release corporate and customer information. GMO said it would refuse payment and work with law enforcement.
It will also provide customers with a free alternative service for six months. The financial impact remains unclear.
Meanwhile, Park24, operator of the Times car-sharing service, announced ¥3,000 payments to customers following a personal data breach. It expects an extraordinary loss of ¥5.5 billion related to the incident and its response.
Japan recorded 723 cybersecurity incidents by October 20, already exceeding the full-year totals for both 2024 and 2025.
MARKET REACTION
GMO shares dropped 15% to a four-month low, while Tokyo's benchmark index gained 0.5%.
WHY IT MATTERS
Cyberattacks are becoming a growing business risk. AI-powered tools are helping criminals automate vulnerability scanning and phishing campaigns, potentially increasing the cost of defending digital infrastructure.
Japan is far from alone: Anthropic's Claude recently bypassed a paywall to access Georgia's aggregate voter data, highlighting how cyber risks and unauthorised access are becoming global challenges that demand stronger internet security, tighter access controls and greater oversight of AI systems.
WHAT TO WATCH NEXT
Investors will be watching for further corporate losses, regulatory action, and increased cybersecurity spending as Japan works to contain the growing threat.
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Source: Reuters
