Sony Pictures CEO Says Cyber-Attack Cost Won't Set Studio Back

Advertisement
By Reuters | Updated: 9 January 2015 12:40 IST
Sony Pictures Entertainment Chief Executive Michael Lynton said on Thursday the costs from the devastating cyber-attack on the Hollywood studio will be completely covered by insurance and will not lead to further cost-cutting.

"I would say the cost is far less than anything anybody is imagining and certainly shouldn't be anything that is disruptive to our budget," Lynton told Reuters in an interview, seven weeks after the hacking attack that the U.S. government has blamed on North Korea.

While Lynton would not elaborate on an estimate for the costs, he said it was "well within the bounds of insurance."

Some experts have put the cost at up to $100 million (roughly Rs. 624 crores), which could include computer repair or replacement, steps to prevent a future attack and lost productivity while operations were disrupted.

Advertisement

The attack targeting the entertainment arm of Sony Corp. is nevertheless believed to be the most destructive ever on a private company on U.S. soil, wiping out massive amounts of data and leading to the online distribution of email, sensitive employee data and pirated copies of new movies.

Advertisement

"It was as though somebody came into your house and robbed it and then burned the house down to ground," Lynton said. "As one of the investigators said to me, whoever wrote this software was very, very angry."

The FBI determined that the North Korean government was behind the attack, launched by hackers as the studio prepared to release its bawdy comedy "The Interview," depicting the assassination of leader Kim Jong-Un. North Korea had called the film an "act of war."

Advertisement

Lynton said that despite the difficulties of working without a network, Sony has not missed any movie or television production deadlines, since many productions run fairly independently of the studio. Pulling together the company's financial statements is difficult, he said, but will be done in time.

The studio's 6,000 employees are scheduled to have their email system restored next week, while the computer network may take another three to six weeks, Lynton said.

Advertisement

© Thomson Reuters 2015

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Advertisement

Related Stories

Popular Mobile Brands
  1. DoT's SIM Binding Rule Explained: How Messaging Apps Will Verify Users
  2. Here's When the Poco C85x 5G Will be Launched in India
  3. WhatsApp Now Lets You Discover Stickers While Typing Emoji
  4. Poco X8 Pro Max Visits Geekbench as Company Finally Confirms Chip Details
  5. Realme C83 5G Debuts in India With a 7,000mAh Battery at This Price
  6. Vivo X300 Max With Zeiss Cameras Spied at MWC 2026, Could Launch Soon
  7. Vivo X300 Ultra's Telephoto Camera Confirmed to Offer CIPA 7.0 Stabilisation
  8. Google Pixel 10a Review: More of the Same?
  1. Vivo X300 Max With Zeiss Cameras and Android 16 Spotted at MWC 2026, Could Launch Soon
  2. WhatsApp Update Introduces Support for Discovering Stickers While Typing Emoji: How It Works
  3. This AI-Powered Portable Device Claims to Detect Microphones and Jam Audio Recordings
  4. Poco X8 Pro Series Global Launch Date Leaked Ahead of Anticipated Debut: Expected Price, Specifications
  5. MacBook Neo Geekbench Scores Indicate It Performs on Par With iPhone 16 Pro Max
  6. Xiaomi Testing Experimental AI Agent Miclaw, Can Perform Complex Tasks Across Devices
  7. Dear Radhi OTT Release: Where to Watch the Tamil Thriller Online?
  8. With Love Now Streaming on Netflix: Know Everything About Plot, Cast, and More
  9. Kaattaan OTT Release Date Confirmed: When and Where to Watch Vijay Sethupathi Starrer Online?
  10. OnePlus 15T Display Size, Ultrasonic Fingerprint Sensor Confirmed; Geekbench Listing Hints at Chip, Memory
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.