Japanese internet provider GMO Internet will cut executive pay after a cyberattack on its Onamae.com Desktop Cloud service exposed customer information and was linked to reports of unauthorized trading-account activity.
In a November 2 disclosure, the company said its board approved three-month reductions for four officers. Chairman Masatoshi Kumagai’s monthly compensation will be reduced by 30%, President and CEO Tadashi Ito’s by 25%, and Executive Vice President Hirofumi Yamashita’s and Senior Managing Executive Officer Kimihiro Kodama’s by 20% each. The cuts take effect with compensation payable in December 2026.
Kumagai’s reduction will be applied by parent company GMO Internet Group, which pays him in his group-chairman role. GMO Internet said it does not pay him compensation as chairman of the subsidiary. The company said the reductions reflect its current assessment of the incident and that it will revisit management accountability after reviewing how it happened.
GMO previously confirmed that attackers had accessed Onamae.com Desktop Cloud and taken customer information outside the company. Some customers also reported trades they did not recognize in their investment accounts, according to the company’s October 24 incident update. The breach and the data leak were also covered in Abijita’s earlier report.
GMO has said it will compensate customers for verified realized losses caused by unauthorized transactions and provide a ¥5,000 goodwill payment to each current service customer. The company has not announced a final determination of the incident’s cause or the full extent of the damage.
The incident adds to a series of attacks affecting Japanese cloud infrastructure. An earlier ransomware attack on provider IDC Frontier disrupted services for 495 organizations, including businesses and local government bodies, as Abijita reported.
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