The data breach in TIO Networks was discovered as part of an ongoing investigation for identifying security vulnerabilities in the payment processing platform. As soon as PayPal identified an unauthorized access to the TIO's network, PayPal took action by "initiating an internal investigation of TIO and bringing in additional third-party cybersecurity expertise to review TIO's bill payment platform"
Acquired by PayPal for US$233 Million in July 2017, TIO Network is a cloud-based multi-channel bill payment processor and receivables management provider that serves the largest telecom, wireless, cable and utility bill issuers in North America.
PayPal did not clear when or how the data breach incident took place, neither it revealed details about the types of information being stolen by the hackers, but the company did confirm that its platform and systems were not affected by the incident. "The PayPal platform is not impacted in any way, as the TIO systems are completely separate from the PayPal network, and PayPal's customers' data remains secure,"
Global e-commerce business PayPal has disclosed a data breach that may have compromised personally identifiable information for roughly 1.6 million customers at a payment processing company PayPal acquired earlier this year. PayPal Holdings Inc. said Friday that a review of its recently acquired company TIO Networks showed evidence of unauthorized access to the company's network, including some confidential parts where the personal information of TIO's customers and customers of TIO billers stored.