Sonder Holdings Inc. Announces Security Incident with Guest Reservation Database

Rhea-AI Summary

Sonder Holdings Inc. (NASDAQ: SOND) has reported an information technology security incident involving unauthorized access to guest records. The breach, discovered on November 14, 2022, may have involved records created before October 1, 2021, including sensitive information like names, contact details, and partial credit card numbers. Despite the breach, Sonder's operations remain unaffected, and the company is actively investigating with security specialists. They have launched support services for impacted guests, including credit monitoring, and are cooperating with regulatory authorities.

Positive

• Sonder's operations remain unaffected despite the security incident.
• The company is actively investigating the situation with leading forensic specialists.
• Support services, including credit monitoring, are being provided to affected guests.

Negative

• Unauthorized access involved potentially sensitive guest records, which could lead to reputational damage.
• The incident raises concerns about the effectiveness of Sonder's IT security measures.

SAN FRANCISCO--(BUSINESS WIRE)-- Sonder Holdings Inc. (NASDAQ: SOND; “Sonder” or the “Company”) advises that measures have been undertaken to respond to an information technology security incident resulting in unauthorized access to one of the company’s systems that included certain guest records. Sonder’s business remains fully operational and the investigation into this incident remains ongoing.

On November 14, 2022, Sonder learned of unauthorized access to one of its systems that included certain guest records. Upon this discovery, the Company took swift action. The Company took steps to contain the event, including making sure that the unauthorized individual no longer had access to Sonder systems, verifying that operations were not affected, and investigating the scope and impact of the incident. The Company also engaged leading security and forensic specialists to assist in its investigation and response to the incident.

Sonder believes that guest records created prior to October 1, 2021 were involved in this incident. Some combination of the following guest information has been accessed:

• Sonder.com username and encrypted password
• Full name, phone number, date of birth, address, email address
• Certain guest transaction receipts, including the last 4 digits of credit card numbers and transaction amounts
• Dates booked for stays at a Sonder property

Additionally, Sonder believes that copies of government-issued identification such as driver’s licenses or passports may have been accessed for a limited number of guest records.

Sonder has taken the following steps to help guests monitor and protect their information:

• Launched a dedicated page at blog.sonder.com for guests who have questions about this incident.
• Sonder will be notifying and making services available to guests whose information was involved in this incident, such as credit monitoring, identity protection, or WebWatcher services, which includes monitoring of internet sites where personal information may be shared and generates an alert to the guest if evidence of their personal information is found.
• Guests who believe their information may have been involved in this incident can email sonder@krollsupport.com or can call 1-855-504-2761 (U.S., Canada, Mexico) or +44 20 7570 0344 (Europe and all other regions) to access the provided services.

Sonder is committed to its guests and to resolving this incident quickly. Sonder is notifying the appropriate regulatory bodies and has contacted law enforcement.

About Sonder Holdings Inc.

Sonder (NASDAQ: SOND) is revolutionizing hospitality through innovative, tech-enabled service and inspiring, thoughtfully designed accommodations combined into one seamless experience. Launched in 2014 and headquartered in San Francisco, Sonder provides a variety of accommodation options — from spacious rooms to fully-equipped suites and apartments — found in over 40 markets spanning ten countries and three continents. The Sonder app gives guests full control over their stay. Complete with self-service features, simple check-in and 24/7 on-the-ground support, amenities and services at Sonder are just a tap away, making a world of better stays open to all.

Forward-Looking Statements

This press release includes statements which may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the accuracy of which are necessarily subject to risks, uncertainties, and assumptions as to future events that may not prove to be accurate. These statements include, but are not limited to, express or implied forward-looking statements relating to our expectations regarding our ability to contain and assess the IT security incident, our ability to protect guest information, and the impact of the IT security incident on our employees, guests, third parties, operations and financial results. These statements are neither promises nor guarantees, but are subject to a variety of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those contemplated in these forward-looking statements. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ materially from those expressed or implied include the ongoing assessment and currently uncertain scope and impact of the IT security incident, legal, reputational, operational and financial risks resulting from this and any future IT security incidents, the effectiveness of business continuity plans during IT security incidents, and the other factors discussed in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2022, and other filings with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221123005235/en/

Media:

press@sonder.com

Investor:

ir@sonder.com

Source: Sonder Holdings Inc.

FAQ

What was the information technology incident reported by Sonder Holdings?

Sonder Holdings reported unauthorized access to guest records on November 14, 2022, which may have included sensitive information.

How did Sonder respond to the security incident?

Sonder took swift action to contain the incident and engaged security specialists to investigate.

What kind of guest information was accessed in the Sonder security breach?

The breach may have involved names, contact details, transaction receipts, and partial credit card numbers.

What support is Sonder offering to affected guests?

Sonder is providing credit monitoring and identity protection services to guests whose information was involved.

Is Sonder's business operations affected by the security breach?

No, Sonder's business operations remain unaffected following the incident.