{"id":88763,"date":"2025-01-16T10:10:05","date_gmt":"2025-01-16T10:10:05","guid":{"rendered":"https:\/\/cybersecuritynews.com\/?p=88763"},"modified":"2025-01-16T10:10:06","modified_gmt":"2025-01-16T10:10:06","slug":"ftc-slams-godaddy-security-practices","status":"publish","type":"post","link":"https:\/\/cybersecuritynews.com\/ftc-slams-godaddy-security-practices\/","title":{"rendered":"FTC Warns GoDaddy for Inadequate Security Practices in Website Hosting Services"},"content":{"rendered":"\n<p>The Federal Trade Commission (FTC) has taken significant action against GoDaddy, one of the world\u2019s largest web hosting companies, for failing to implement adequate security measures to protect its customers&#8217; data.<\/p>\n\n\n\n<p>The FTC alleges that GoDaddy&#8217;s &#8220;unreasonable security practices&#8221; led to several major breaches between 2019 and 2022, exposing sensitive customer information and putting millions of businesses and consumers at risk.<\/p>\n\n\n\n<p>According to the FTC, GoDaddy failed to adopt basic cybersecurity practices necessary to safeguard its hosting services. The company allegedly neglected critical measures such as:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Conducting regular software updates and patch management.<\/li>\n\n\n\n<li>Implementing multi-factor authentication (MFA) for administrative access.<\/li>\n\n\n\n<li>Logging and monitoring security-related events.<\/li>\n\n\n\n<li>Segmenting its network to prevent lateral movement by attackers.<\/li>\n\n\n\n<li>Securing connections to sensitive systems, such as APIs.<\/li>\n<\/ol>\n\n\n\n<p>The <a href=\"https:\/\/www.ftc.gov\/news-events\/news\/press-releases\/2025\/01\/ftc-takes-action-against-godaddy-alleged-lax-data-security-its-website-hosting-services\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">FTC also accused<\/a> GoDaddy of misleading customers through marketing claims that it provided robust security.<\/p>\n\n\n\n<p>Despite assurances of &#8220;24\/7 network security&#8221; and adherence to international privacy frameworks like the EU-U.S. Privacy Shield, the FTC found these claims to be false or misleading.<\/p>\n\n\n\n<p class=\"has-text-align-center has-background\" style=\"background:linear-gradient(180deg,rgb(238,238,238) 92%,rgb(169,184,195) 100%)\"><strong><code>Investigate Real-World Malicious Links &amp; Phishing Attacks With\u00a0<strong>Threat Intelligence Lookup<\/strong>\u00a0-\u00a0<a href=\"https:\/\/intelligence.any.run\/plans?utm_source=linkedin_csn&amp;utm_medium=post&amp;utm_campaign=baner_jan&amp;utm_content=plans&amp;utm_term=150125\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Try for Free<\/a><\/code><\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Impact Of Security Failures<\/strong><\/h2>\n\n\n\n<p>GoDaddy&#8217;s lapses in cybersecurity resulted in multiple breaches that compromised customer websites and data. Notable incidents include:<\/p>\n\n\n\n<p>1. <strong>2019-2020 Breach<\/strong>: Attackers exploited vulnerabilities in GoDaddy&#8217;s hosting environment, <a href=\"https:\/\/cybersecuritynews.com\/godaddy-employees-tricked\/\" target=\"_blank\" rel=\"noreferrer noopener\">gaining unauthorized access<\/a> for over six months. They replaced application files with malicious versions, compromising login credentials for approximately 28,000 customers and 199 employees.<\/p>\n\n\n\n<p>2. <strong>2021 WordPress Breach<\/strong>: Hackers <a href=\"https:\/\/www.sec.gov\/Archives\/edgar\/data\/1609711\/000160971121000122\/gddyblogpostnov222021.htm\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">accessed an insecure API<\/a>, exposing sensitive data from 1.2 million customers, including email addresses, private encryption keys, and database credentials.<\/p>\n\n\n\n<p>3. <strong>2022 Recurrence<\/strong>: A threat actor exploited leftover vulnerabilities from earlier breaches, redirecting visitors of customer websites to malicious sites.<\/p>\n\n\n\n<p>These incidents not only harmed businesses relying on GoDaddy\u2019s services but also endangered consumers visiting affected websites. Victims faced risks such as identity theft, financial fraud, and exposure to malware.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>FTC\u2019s Actions And Settlement<\/strong><\/h2>\n\n\n\n<p>In response to these failures, the FTC has mandated that GoDaddy overhaul its cybersecurity practices under a proposed settlement agreement. Key requirements include:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Establishing a comprehensive information-security program.<\/li>\n\n\n\n<li>Implementing MFA across all administrative accounts.<\/li>\n\n\n\n<li>Conducting regular third-party assessments of its security measures.<\/li>\n\n\n\n<li>Ensuring secure connections for all API communications.<\/li>\n<\/ol>\n\n\n\n<p>The settlement prohibits GoDaddy from making false claims about its security practices in the future. While the company did not admit wrongdoing or face monetary penalties, non-compliance with the order could result in fines of up to $51,744 per violation.<\/p>\n\n\n\n<p>GoDaddy stated that it has already implemented many of the FTC&#8217;s recommended measures and remains committed to improving its cybersecurity defenses. <\/p>\n\n\n\n<p>&#8220;We are focused on protecting our customers&#8217; data and websites,&#8221; a company spokesperson said. &#8220;We continue to invest in technologies, tools, and expertise to enhance system and information security.&#8221;<\/p>\n\n\n\n<p>The company emphasized that it expects minimal financial impact from complying with the settlement terms.<\/p>\n\n\n\n<p>Samuel Levine, Director of the FTC\u2019s Bureau of Consumer Protection, highlighted the importance of this case: &#8220;Millions of small businesses rely on hosting providers like GoDaddy to secure their websites. <\/p>\n\n\n\n<p>The FTC is acting to ensure companies strengthen their security frameworks to protect consumers worldwide.&#8221;<\/p>\n\n\n\n<p>This action underscores the FTC&#8217;s commitment to holding companies accountable for cybersecurity failures that put consumers at risk. <\/p>\n\n\n\n<p>Similar enforcement actions have been taken against other major firms like Marriott International for comparable lapses in data protection.<\/p>\n\n\n\n<p class=\"has-text-align-center has-background\" style=\"background:linear-gradient(180deg,rgb(238,238,238) 94%,rgb(169,184,195) 100%)\"><strong><strong>Integrating Application Security into Your CI\/CD Workflows Using Jenkins &amp; Jira -> <a href=\"https:\/\/webinars.indusface.com\/agile-security-workflows-devsecops-hacks-for-ci-cd-pipeline\/register?utm_source=gbhackers-blog-cta&amp;utm_campaign=2025-jan-webinar-agile-security&amp;utm_medium=referral\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Free Webinar<\/a><\/strong><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Federal Trade Commission (FTC) has taken significant action against GoDaddy, one of the world\u2019s largest web hosting companies, for failing to implement adequate security measures to protect its customers&#8217; data. The FTC alleges that GoDaddy&#8217;s &#8220;unreasonable security practices&#8221; led to several major breaches between 2019 and 2022, exposing sensitive customer information and putting millions [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":88779,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/blogger.googleusercontent.com\/img\/b\/R29vZ2xl\/AVvXsEiPZgQeDboR-DbvBXMOSHBXm5lkJ2MQnymg9xq3v_Fz-iutSVgFi1o1kTRTLraGtykCcckySDYuWbllng1If557V6TYf08SexGmkGqL2IdGJCYahsL3djSwHRVvpvuY9FTwfBF08t1T_M0OOKgcjNoU1LJ5IUU4ayYMlJVqEOUtw0Mj7ZfXufp0Lh4U18Re\/s16000\/FTC%20Godaddy.webp","fifu_image_alt":"FTC Warns GoDaddy for Lacking Standard Security Practices After Major 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