A cyberattack has brought down one of Germany’s largest phone insurance and repair networks, forcing the once-thriving Einhaus Group into insolvency. The company, which at its peak generated around €70 million in annual revenue and partnered with big names such as Deutsche Telekom, Cyberport, and 1&1, has been unable to recover from the financial and operational chaos that followed the attack.
In March 2023, founder Wilhelm Einhaus arrived at the company’s offices to an unsettling sight. Every printer had churned out the same note: “We’ve hacked you. All further information can be found on the dark web.” Investigations revealed the work of the hacking group known as “Royal.” They had infiltrated the company’s network, encrypting all of its core systems, the very tools needed to process claims, manage customer data, and run daily operations.
Without these systems, business ground to a halt. The hackers demanded around $230,000 in Bitcoin to unlock the computers. Facing immediate and heavy losses, and with no way to operate manually at the same scale, Einhaus Group reportedly agreed to pay. The financial damage, however, was already severe, estimated in the multi-million-euro range. Police were brought in early, but the payment decision was made to avoid even greater harm.
This article has been indexed from CySecurity News – Latest Information Security and Hacking Incidents
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