financetom
Technology
financetom
/
Technology
/
US school districts facing extortion attempt after hack, software provider says
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
US school districts facing extortion attempt after hack, software provider says
May 26, 2025 3:40 AM

By AJ Vicens

DETROIT (Reuters) -Hackers have tried to extort "multiple" school districts in the United States using previously stolen data from education software and cloud provider PowerSchool, the company said in a statement on Wednesday.

The California-based provider, which serves more than 60 million students globally, disclosed in December 2024 that personal information from its U.S. student information database had been stolen in a cybersecurity incident. The data stolen varied, the company said at the time, but could have included names, contact information, dates of birth, limited medical alert information, and social security numbers.

In an update on Wednesday the company said it was "aware that a threat actor has reached out to multiple school district customers in an attempt to extort them," and for the first time acknowledged that the company paid a ransom for an undisclosed amount to the hackers responsible for the breach. The extortion attempts relied on data stolen as part of that incident, the company said. 

The company made what it called "the difficult decision" to pay the ransom "because we believed it to be in the best interest of our customers and the students and communities we serve." The company believed the hackers would delete the data, the company said, "based on assurances and evidence provided to us."

Reuters could not establish whether the same hackers behind the original attack were behind the extortion tries. A person familiar with the extortion attempts told Reuters four school districts had been contacted. It was not clear where those districts are located.

PowerSchool did not respond to a request for comment.

Bain Capital took PowerSchool private in a deal worth $5.6 billion in June 2024.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Exploring The Competitive Space: NVIDIA Versus Industry Peers In Semiconductors & Semiconductor Equipment
Exploring The Competitive Space: NVIDIA Versus Industry Peers In Semiconductors & Semiconductor Equipment
Nov 29, 2024
In today's rapidly changing and highly competitive business world, it is imperative for investors and industry observers to carefully assess companies before making investment choices. In this article, we will undertake a comprehensive industry comparison, evaluating NVIDIA ( NVDA ) vis-à-vis its key competitors in the Semiconductors & Semiconductor Equipment industry. Through a detailed analysis of important financial indicators, market...
Investigating Apple's Standing In Technology Hardware, Storage & Peripherals Industry Compared To Competitors
Investigating Apple's Standing In Technology Hardware, Storage & Peripherals Industry Compared To Competitors
Nov 29, 2024
In the fast-paced and highly competitive business world of today, conducting thorough company analysis is essential for investors and industry observers. In this article, we will conduct an extensive industry comparison, evaluating Apple ( AAPL ) in relation to its major competitors in the Technology Hardware, Storage & Peripherals industry. Through a detailed examination of key financial metrics, market standing,...
Telefonica's sale of Peruvian fibre network falls through
Telefonica's sale of Peruvian fibre network falls through
Nov 29, 2024
MADRID, Nov 29 (Reuters) - Telefonica's sale of stakes in its fibre optic network in Peru to private equity fund KKR and Chilean telecom firm Entel announced in July 2023 fell through, Entel said in a filing to the regulator on Thursday. Telefonica said it is maintaining talks with Entel and KKR, in a separate filing to the Peruvian stock...
Evaluating Microsoft Against Peers In Software Industry
Evaluating Microsoft Against Peers In Software Industry
Nov 29, 2024
Amidst today's fast-paced and highly competitive business environment, it is crucial for investors and industry enthusiasts to conduct comprehensive company evaluations. In this article, we will delve into an extensive industry comparison, evaluating Microsoft ( MSFT ) in comparison to its major competitors within the Software industry. By analyzing critical financial metrics, market position, and growth potential, our objective is...
Copyright 2023-2025 - www.financetom.com All Rights Reserved