The company has recently invested heavily in ways to lower their product cost which has resulted in some major security flaws. ABC’s product design team has struggled to find the balance between keeping the cost low and implementing proper security controls in the devices. While the company allows their security cameras to connect to the internet, the company has spent very little money ensuring that their cameras are safe from hackers.

ABC’s senior management has recently come across multiple customer reports stating that the cameras have been in “recording mode” when they were supposed to be off. Management is concerned with the safety of their customers and they have hired Deloitte to investigate the matter.

Deloitte finds that the software in the cameras contains an administrator account that doesn’t require a password. Deloitte suspects that hackers have been using the cameras to spy on ABC’s customers since the adoption of the new internet feature.