Coupang founder apologizes for data breach amid mounting scrutiny
Coupang Inc. founder and Chair Bom Kim broke his silence Sunday with a public apology over the company’s large-scale data breach, although he is unlikely to attend the upcoming parliamentary hearing to address the fallout in full.
In a written public statement, Kim said he was “deeply sorry” for the fear and concern resulting from the breach that affected 33.7 million user accounts. His official remarks come nearly a month after the company publicly disclosed the incident on Nov. 29.
“As founder and chair of Coupang, I sincerely apologize on behalf of the entire company,” Kim said. “I am profoundly saddened by the disappointment we have caused the public.”
Kim acknowledged the delay in his apology, explaining that he had prioritized taking action over making public statements, and as a result, failed to communicate properly with the public.
“I believed it was more meaningful for Coupang to take action and deliver tangible results rather than offer a verbal apology,” he said, admitting it was a mistake in hindsight.
“While Coupang worked around the clock to resolve the situation, I, too, should have expressed my deep regret and sincere apology from the beginning,” he continued. “We believed that fully recovering 100 percent of the stolen customer data was essential to restoring customer trust.”
Kim added that Coupang Korea would soon implement a compensation plan for affected customers and pledged a full overhaul of the company’s cybersecurity infrastructure.
Over the past month, Kim said, Coupang successfully recovered 100 percent of the leaked data.
According to the company’s press release on Wednesday, the breach involved access to data linked to 33 million users, but only around 3,000 accounts were actually stored, and the incident was carried out solely by a former employee. Coupang added that it had recovered the devices used in the breach, deleted all stored information and confirmed that no external leaks had occurred.
Following the announcement, Coupang Inc. shares surged more than 6 percent on the New York Stock Exchange, where it is listed.
The stock closed at $24.27 on Friday, up $1.47, or 6.45 percent, from the previous day, after reaching an intraday high of $25.38. While the rebound marked a recovery from its recent low of $22.42 on Dec. 22, the stock remains well below its 52-week high of $34.08 reached in September.
While the apology appeared to reassure investors, it drew sharp criticism from Korean authorities.
The Ministry of Science and ICT denounced Coupang’s handling of the incident as “unilateral,” saying that the company’s claims had not been verified by the joint public-private investigation team. The Seoul Metropolitan Police also claimed that no prior coordination took place between them and Coupang.
Coupang denied these allegations, asserting that it had worked closely with relevant government agencies throughout the investigation and had provided all necessary materials. The company released photos and video footage of the suspect's recovered equipment as part of its rebuttal.
Despite the rare public apology, the founder is not expected to appear in person at the upcoming two-day parliamentary hearing, led by the Democratic Party of Korea and six standing committees, scheduled for Tuesday and Wednesday.
According to the National Assembly on Sunday, Kim cited prior commitments that had already been confirmed and could not be changed.
His younger brother, Coupang Vice President Kim Yoo-seok, also cited scheduling conflicts in his letter of nonattendance, while former Coupang Korea CEO Kang Han-seung noted that he had stepped down earlier this year.
Their absence has only stoked further outrage among Korean lawmakers.
Rep. Choi Min-hee, chair of the parliamentary science committee, condemned the move as “an act of disregard and mockery toward the Republic of Korea and the National Assembly,” adding that the Assembly would fulfill its duties without compromise.
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