A Cyberattack Shuts Down MGM Resorts In Las Vegas And Other Cities

A Cyberattack Shuts Down MGM Resorts In Las Vegas And Other Cities

Visitors are currently unable to access their accommodations at the MGM Grand along with twelve other establishments located in Las Vegas.

"MGM's Iconic Vegas Hotels Offline 24+ Hours From Cybersecurity Issue"

A cyber intrusion has invaded MGM Resorts' computer system, causing the closure of various prominent casino lodgings in Las Vegas such as Bellagio, Mandalay Bay, and Cosmopolitan, as well as six other U.S. MGM properties. This attack has resulted in guests being unable to use their digital key cards to purchase products and services and not having access to their rooms.

Starting from Monday evening, the MGM website has been substituted with a temporary page directing visitors to get in touch with the business through telephone communication.

On Sunday evening, the problem was first identified by the company. They promptly partnered with reputable cybersecurity professionals to investigate the issue. On the X platform (previously called Twitter), MGM made this announcement on Monday. Furthermore, they informed law enforcement and took immediate measures to safeguard their systems and data, including disabling certain systems.

Forbes received an email from Mark Neria, who is an FBI special agent in Las Vegas, stating that they have knowledge of the incident. However, as the situation is still in progress, the FBI cannot provide any further details at this moment.

Last year, MGM Resorts, which is one of the biggest companies in the casino-hotel industry worldwide, made a total of $14.1 billion in revenue. During a recent quarterly earnings call, Jonathan Halkyard, the CFO and treasurer of the company, stated that they provide around 12 million room nights per year in Las Vegas alone.

MGM's casino floors were up and running by late Monday night, but unfortunately, the reservation systems for both hotel rooms and restaurant bookings were down for over a day. MGM Resorts has yet to reply to Forbes' inquiry regarding this matter.

The latest profit report from MGM covers the three-month period that concluded on June 30. According to the report, the Las Vegas Strip hotels owned by MGM enjoyed almost full occupancy, at 96%. From this full-house, they managed to earn an impressive $707 million from hotel room revenue. This figure stood out when compared to the casino revenue that the same hotels brought in over the same quarter, which stood at a comparatively low $492 million. The math shows that each day, the hotels at MGM bring in about $8 million in earnings from room rentals.

It is not rare for hackers to target hotels with cyberattacks. For example, in 2018, Marriott suffered a major security breach, which resulted in the theft of data from 500 million customers. In the last ten years, many other well-known hotel chains, such as Hyatt, Hilton, InterContinental, Sheraton, Westin, Starwood, Wyndham, Omni Hotels, and Mandarin Oriental, have also experienced high-volume data breaches.

However, these types of assaults usually entail purloined information and are generally detected only after they have occurred. It is uncommon for one to incapacitate the firm's functioning capacity.

Further details from Forbes on why large hotel chains like Marriott and Hyatt are investing heavily in the all-inclusive resort market, are discussed by Suzanne Rowan Kelleher.

ADDITIONAL ARTICLES FROM FORBES: 1. Overcoming the Passport Renewal Backlog: Tips to Expedite the Process by Suzanne Rowan Kelleher 2. The Troubled Demise of Disney's Star Wars Hotel by Suzanne Rowan Kelleher

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