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Sony Execs in Privacy Hot Seat

Recently promoted Kaz Hirai faces test of leadership as costs from security breach could hit $2 billion.

Could the fallout from the worsening Sony hacking scandal derail the rise of the company's heir apparent, Kazuo "Kaz" Hirai? One of the largest-ever breaches of online security, the April 20 leak compromised personal data from as many as 100 million user accounts of Sony's PlayStation Network and Qriocity. The attack has yet to result in any confirmed cases of credit card fraud or identity theft, but Sony has faced criticism for delays in informing users and in getting its online platform running again. "It doesn't look very good for Hirai-san, but I don't think he'll have to perform seppuku over it, either," a Tokyo ad exec says.