AT&T has agreed to pay $177 million to settle claims linked to two major data breaches that exposed sensitive customer information. The settlement, finalized in June 2025, will compensate millions of current and former users across the United States.
AT&T is one of the largest telecommunications providers in the United States, serving millions of customers with mobile, internet, and television services.
In 2024, the company was hit by two significant data breaches: one in March, and the other in July. The data breaches exposed customer information, including names, phone numbers, and call logs.
The incidents sparked a wave of lawsuits accusing AT&T of failing to adequately secure its systems. While the company has denied wrongdoing, it agreed to settle the claims to avoid a prolonged legal battle.
The settlement fund will distribute $177 million among eligible customers, with payments depending on the type of claim:
The exact payout amounts will depend on how many people file claims.
The settlement covers both current and former AT&T customers whose data was compromised in either of the 2024 breaches. An official settlement website is expected to launch in summer 2025, allowing people to check eligibility and file claims.
The settlement still requires court approval, but once finalized, claims will be processed through the settlement website. Customers can expect payments to begin in early 2026. Those seeking higher payouts for financial losses will need to provide documentation, while smaller claims may require only a sworn statement.
The AT&T agreement is one of the largest settlements tied to a telecom data breach. It highlights the rising financial and legal risks companies face when handling personal data. For customers, the settlement offers a path to recover losses and gain protection after years of uncertainty about how their data might be misused.
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