MGM Resorts (NYSE:MGM) International, a major operator of hotels and casinos on the Las Vegas Strip, continues to confront widespread disruptions due to a cyberattack that occurred on Sunday, September 10, 2023. The attack led to a shutdown of significant portions of its internal networks, affecting operations across the company's properties.
The hacking group known as Scattered Spider claimed responsibility for the MGM attack. The group is believed to be a subgroup of the ALPHV ransomware gang. However, it is still unclear whether any data was exfiltrated from MGM's systems.
The cyberattack resulted in ATMs and slot machines going out of order, along with room digital key cards and electronic payment systems. Despite MGM's previous statements that its resorts were operational, recent reports indicate continuing issues across its properties. Social media posts show that MGM’s casinos remain inactive, with long queues forming at affected properties as staff reverted to pen and paper methods. TV service in hotel rooms and phone lines are also reported to be down.
In response to the crisis, MGM has updated its website to advise customers to use its Rewards app for bookings. The company has also waived change and cancellation fees for guests arriving until September 17.
Scattered Spider's claim of responsibility for the MGM breach was first reported by vx-underground, a malware repository collective. The group is also suspected of being behind a recent cyberattack on Caesars (NASDAQ:CZR) Entertainment, another hotel and casino giant. However, a representative for Scattered Spider stated that while they were responsible for the MGM attack, they had no involvement with the Caesars incident.
Caesars confirmed in an 8-K filing with federal regulators that hackers stole its loyalty program database, which contained driver license numbers and Social Security numbers of a significant number of members. The company stated it has taken steps to ensure that the stolen data is deleted by the unauthorized actor, but it could not guarantee this result.
Scattered Spider reportedly compromised MGM using social engineering techniques, where an employee was allegedly found on LinkedIn and tricked into granting hackers access to corporate networks. The group is known for targeting companies with substantial financial resources, as stated by a representative of Scattered Spider.
The FBI confirmed it is investigating the MGM cyberattack but declined to comment further. MGM has yet to comment on the nature of the cyberattack beyond an 8-K filing earlier in the week.
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