South Korea FTC Warns of Coupang Business Suspension 2026 Over Data Breach
South Korea's FTC Chairman Ju Byung-gi warned on Jan 12, 2026, that Coupang could face a business suspension following a massive data breach affecting 33.7 million accounts and unfair trade allegations.
Could the South Korean e-commerce giant face a complete standstill? Ju Byung-gi, chairman of the Fair Trade Commission (FTC), announced on January 12, 2026, that ordering a temporary suspension of Coupang's business operations is a real possibility if the company's relief measures for consumers are deemed insufficient.
Massive Data Breach and Coupang Business Suspension FTC Scrutiny
The controversy stems from a massive data breach where a former employee allegedly compromised information from 33.7 million user accounts. While Coupang claims that data from only 3,000 accounts was actually saved and subsequently deleted, the Science Ministry has dismissed these findings as "one-sided." A joint public-private investigation is currently underway to determine the true scale of the leak.
If an order is not implemented or if it is deemed insufficient to provide relief to affected consumers, a business suspension is also possible.
Broadening the Regulatory Net
The FTC isn't just looking at data privacy. It's also investigating Coupang's business practices, specifically allegations that the company passed on financial losses from its aggressive low-pricing strategies to its partner suppliers. Results of these deliberations are expected to be announced shortly, adding more pressure to the U.S.-listed firm.
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