In a severe incident earlier this month, MGM Resorts International (MGM) was crippled by a cyberattack affecting its operations. A hacking group named Scattered Spider brought down the systems of MGM, leading to several systems remaining paralyzed for a few days. This critical downtime forced the company to shut down selected operations to manage the issue. Consequential losses from the onslaught could very well be sizable.
According to Jefferies gaming industry analyst David Katz, the company is projected to face a near-term loss between 10% and 20% in revenue and cash flow “for the days that the current conditions exist.”
Adding to MGM’s predicament are class action lawsuits lodged against the company. The allegations accuse the organization of neglecting to protect its customer base from cyberattacks experienced this month.
This combination of factors could exert intense…
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