By Connor Hart
GoDaddy will implement new information-security programs to settle charges that the technology platform failed to secure its website-hosting services and protect its customers from attacks, the Federal Trade Commission said Wednesday.
The company will establish a comprehensive program that protects the security, confidentiality and integrity of its services. The settlement agreement will additionally prohibit the company from making misrepresentations about its security practices, as well as mandate it to hire an independent assessor to oversee the program, the FTC said.
The settlement is in response to an FTC complaint that alleges GoDaddy has failed to implement reasonable and appropriate security measures across its platform since 2018. Failures include improperly managing assets and software updates, inadequately logging and monitoring security-related events, and segmenting its shared hosting from less-secure environments, according to the complaint.
GoDaddy, whose technology platform is designed to help entrepreneurs start, grow and scale their businesses, didn't immediately respond to a request for comment.
The company's data-security failures resulted in several security breaches between 2019 and 2022, in which bad actors gained unauthorized access to customers' websites and data, the FTC said. These breaches additionally exposed consumers visiting the websites to risks.
The agency also alleges that the company misled customers with claims that it deployed reasonable security.
"Millions of companies, particularly small businesses, rely on web hosting providers like GoDaddy to secure the websites that they and their customers rely on," the FTC's Bureau of Consumer Protection Director Samuel Levine said. "The FTC is acting today to ensure that companies like GoDaddy bolster their security systems to protect consumers around the globe."
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
January 15, 2025 16:58 ET (21:58 GMT)
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