The company has now chosen to suspend its app regarding due to the problems and is managing the aftermath.
LifeLock, a giant in the identity theft industry, has now suspended its app following the massive mobile security issues that had plagued it, in order to give the company the chance to try to deal with some of the fallout from this devastating blow.
The company’s stock also took quite a beating when analysts downgraded it to “neutral” from “buy”.
The target share price had reached the point that it was slashed in half, by the time this article was written. The Tempe-based company’s stock price has been riding a virtual roller coaster and it doesn’t look as though it will be slowing down quite yet. This was all in response to the announcement that as a mobile security precaution, all of the user information from the LifeLock Wallet would be deleted, and the app would be taken down from Google Play, Amazon Apps, and other application stores.
Officials from LifeLock have revealed that the primary mobile security concern was over compliance.
They have stated that this is not a response to a cyberattack, but instead it is a precaution because they have discovered that their own application is not in compliance with the standards for credit card security. They explained that they were working on correcting the problem as quickly as they could, which makes it apparent that the removal of the application was done only as a temporary measure and they are hoping to provide a new one in the future.
Officials underscored the point that no personal information for any of their users had been compromised in any of these events.
According to the LifeLock vice president of corporate communications, “We’re still in the fact-finding period.” He went on to add that “We are limited in what we can share right now.” That said, he did explain that the issue with compliance was found internally and that the company voluntarily came forward to the Federal Trade Commission in order to report it.
They are now working on improving their mobile security in order to ensure that it complies with the Payment Card Industry standards for the protection of personal information.