Coupang faces backlash over $1.18 billion compensation deal for massive data leak

Following the massive data breach incident, the South Korean e-commerce giant Coupang’s founder, Kim Bom, has publicly apologized, acknowledging the level of inconvenience caused to more than 33 million affected users, and announced a compensation deal worth $1.8 billion (1.69 trillion won) on Monday, December 29, 2025.

The decision came after the data leak incident triggered backlash from users and lawmakers, and the company informed that each customer will get vouchers of 50,000 won as compensation, reports Reuters.

However, the criticism and backlash continue over Coupang’s decision to provide compensation in the form of vouchers that can only be used on its own services and platforms.

A lawmaker of the ruling Democratic Party and chair of the National Assembly's Science, ICT, Broadcasting, and Communication committee, Choi Min-hee, mentioned in a Facebook post that Coupang was "bundling coupons for services no one uses," criticizing the company for offering vouchers tied to its less popular services.

She added that Coupang appeared to be trying to turn the crisis into a business opportunity.

Moreover, the consumer advocacy group Korea National Council of Consumer Organizations also mentioned that ⁠Coupang's plan made a mockery ‌of consumers and downplayed the severity of the data breach, describing it as a marketing tool designed to encourage additional purchases rather than as a sign of restitution.

Additionally, customers assume that this smart move is likely initiated to keep the New York-listed e-commerce group’s shares in focus, not users, as Coupang shares on Friday, December 26, 2025, were closed at 6.5% up at $24.27.

As reported previously, the online retail firm has apologized for the massive data leak, acknowledging its negligence, but refused to appear in parliament.

Whereas, South ⁠Korea's parliament plans to hold two days of hearings on Coupang starting on Tuesday, December 30, 2025.