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Thursday, September 30, 2021

Bandwidth says network ‘back to normal’ after cyber attack; stock hits 52-week low - WRAL Tech Wire

RALEIGH – Communications provider Bandwidth says it’s network is back to “normal” in the wake of a cyber attack, but the company is paying a price on the stock market where shares fell to a 52-week low on Wednesday.

“We saw intermittent disruptions last night around 7:30-9 pm Raleigh time [Wednesday] but since then our technical teams report normal network operations with successful call completion,” spokesperson David Doolittle tells WRAL TechWire.

Whether the DDoS – or denial of service attack – was a ransomware attack is not known. Bandwidth has so far declined comment.

Among companies affected by the outages that occurred during the attack was WRAL TV.

“We also want to apologize​ to those people who called after 7:15 tonight and weren’t able to reach someone,” WRAL News reported about a Vaccine Hotline call-in program.

“The company running our phone system tells us that the Raleigh-based company Bandwidth is affected by a major network attack–which WRAL Techwire reported on earlier today.”

Raleigh-based communications provider Bandwidth hit by cyberattack, CEO apologizes

Bandwidth, a growing global provider of communications services such as 911 access to a host of tech giants, reported earlier Wednesday that its operations were “fully operational” after the cyber attack that affected numerous services.

The attack triggered an apology from Bandwidth’s CEO.

Bandwidth’s customers include Microsoft, Google, Zoom and many others that utilize internet-based services in Bandwidth’s product portfolio.

Wednesday evening, Bandwidth acknowledged disruptions in a series of notes, including these two:

  • Update – Bandwidth teams are currently investigating an incident impacting, 911 Calling, Inbound and Outbound Voice, V2 Voice, Portals, and associated APIs, and Messaging. Customers may experience failed calls, portal & API latency, or time outs, delayed or failed messages.
    Sep 29, 19:47 EDT
  • Update – Bandwidth teams are currently investigating an incident impacting, 911 Calling, Inbound and Outbound Voice, V2 Voice, Portals, and associated APIs. Customers may experience failed calls, portal & API latency, or time outs.
    Sep 29, 19:42 EDT

Wall Street reacts negatively

In the wake of the attack, Bandwidth shares sank to a 52-week low of $87.77 before rebounding back above $88 in after-hours trading.

Shares delined more than 6% during Wednesday trading as details about the attack emerged. Shares closed at more than $98 on Monday.

Morken acknowledged the attack on Tuesday.

The attack further drove down shares which have fallen by 50% since hitting a 52-week high of $198.60 earlier this year.

Despite the decline in share price, the stock is rated at as “strong buy” in a consensus of Wall Street analysts with a target price of $168.33, according to Nasdaq.

Bandwidth is in the process of building a new headquarters and hiring additional workers in Raleigh.

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September 30, 2021 at 07:03PM
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Bandwidth says network ‘back to normal’ after cyber attack; stock hits 52-week low - WRAL Tech Wire
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