South Korea's presidential office is set to hold an emergency meeting on December 25 over a massive data breach at e-commerce giant Coupang. The leak affected 33.7 million customers, undermining the company's delivery model built on social trust. A former U.S. security adviser has criticized Korean scrutiny as aggressive targeting of a U.S.-listed firm.
Coupang has built its success on South Korea's high level of social trust, enabling a contactless delivery model that thrived during the COVID-19 pandemic. However, a recent massive data breach has put the e-commerce giant in crisis. The leak exposed personal data—including names, contact information, addresses, and apartment entrance codes—for about 33.7 million accounts, roughly two-thirds of the population.
Following the disclosure last month, Coupang's domestic transaction approvals dropped from 46.8 million in the two weeks before the announcement to 44.9 million afterward, a 4.1% decline. The total approved amount fell by 127 billion won, or 0.9%. Mobile analytics showed daily active users decreasing from a peak of 17.98 million on December 1 to 14.84 million by December 20, a loss of around 3 million users.
In response, the presidential office scheduled an emergency meeting for December 25, despite it being a holiday. Chaired by presidential chief of staff for policy Kim Yong-beom, the session will include Science Minister Bae Kyung-hoon, Personal Information Protection Commission Chair Song Kyung-hee, and others. Foreign Minister Cho Hyun and National Security Office officials are also attending, possibly to examine Coupang's U.S. lobbying activities. President Lee Jae Myung, who described the company during a December 11 briefing as "those people are not afraid of punishment at all," is taking the matter seriously.
Meanwhile, Robert O'Brien, former national security adviser to U.S. President Donald Trump, criticized the South Korean parliament's scrutiny in a social media post on December 24. He called it "aggressive targeting" of the U.S.-listed firm and urged a "strong, coordinated U.S. response" to protect American companies and counter China's economic influence.
Historian Chun Woo-yong remarked, "K-trust made contactless delivery possible here... Coupang has simply turned Koreans’ honesty and goodwill into its profit base. The privatization of public virtue is a kind of plunder." The incident highlights Coupang's underinvestment in data security and draws comparisons to higher security costs in markets like the U.S., Japan, and China.
