33.7 Million Personal Records Leaked
Chairman Kim Remains Silent Amid Multiple Controversies
Criticism Mounts from National Assembly and Consumer Groups
"Company Must Offer a Sincere Apology and Compensation"
Coupang, the largest e-commerce platform in South Korea, is facing the greatest crisis since its founding. Established in 2010, the company endured 14 years of losses before transforming into a company with an annual profit of 1 trillion won. However, a series of simultaneous setbacks-including the leak of personal information of up to 33.7 million customers and a growing movement to leave Coupang, dubbed "Talpang" (quitting Coupang)-have struck the company.
A massive personal information leak involving over 30 million cases has occurred at Coupang. This scale exceeds the economically active population of 29.69 million, making it the worst leak incident in history. On December 1, following an apology text message from Coupang regarding the personal information leak, a Coupang signboard installed at Coupang headquarters is visible. 2025.12.01 Photo by Yoon Dongju
Beomseok Kim, Chairman of the Board at Coupang Inc. and the company's founder, has remained silent and unresponsive not only regarding the recent personal information leak but also amid various controversies surrounding Coupang's domestic business. His lack of appearance or statements has placed him at the center of criticism.
Min Byungdeok, a lawmaker from the Democratic Party and head of the Euljiro Committee, stated at a press conference in the National Assembly on December 2, urging consumer countermeasures for the Coupang personal information leak, "This incident is not a simple mistake but a man-made disaster caused by systematic irresponsibility." He criticized, "Coupang has focused solely on confining consumers within its platform by leveraging its monopoly status, treating the personal information of the public as a byproduct of profit, and threatening public safety." He added, "The company has failed to present an effective compensation plan and has evaded Korean regulatory oversight by citing its status as an American company. We will work to eradicate such behavior and ensure the company takes appropriate responsibility before the public."
The Korea Consumer Organizations Council also called on Chairman Beomseok Kim to apologize to consumers and provide a responsible solution, urging Coupang to transparently disclose the facts regarding the personal information leak and to establish measures for consumer protection and compensation.
Coupang, which started in 2010 with a capital of 3 billion won, rapidly grew by investing more than 6 trillion won over 10 years from 2014 to build its logistics infrastructure known as Rocket Delivery. After achieving 1 trillion won in sales in 2015, the company continued to grow at nearly double the rate each year. With the surge in the online shopping market following COVID-19, Coupang surpassed 20 trillion won in sales in 2021 and exceeded 40 trillion won in annual sales last year.
Coupang has overtaken offline retail giants that once dominated the domestic shopping market, such as Lotte Shopping (13.9866 trillion won) and Shinsegae Group (35.5913 trillion won), and has emerged as a dominant platform. The company also turned its accumulated losses into profits from 2023, thanks to massive investments in infrastructure. According to Coupang Inc.'s performance report submitted to the U.S. Securities and Exchange Commission (SEC), the company's consolidated annual operating profit last year was 602.3 billion won, while the operating profit of its Korean entity reached approximately 1.6 trillion won.
The driving force behind such rapid growth has been the company's technology-driven strategy. Coupang has consistently claimed that "the power to shape the future of commerce lies in an engineering culture focused on customer-centric, data-driven innovation, and rapid problem-solving." However, the company's organizational operations have sparked numerous controversies. Repeated industrial accidents and fatalities have raised concerns about worker treatment, while issues such as commission fees and settlement cycles for small business partners, as well as delivery application fees, have led to multiple summons to various standing committees during this year's National Assembly audits.
Currently, the Online Platform Act (On-Plat Act) is under discussion to protect partner businesses from the unfair practices of platform companies like Coupang, and allegations of external pressure to avoid indictment over severance pay have led to a permanent special prosecutor investigation. This stems from the Bucheon Branch of the Central Regional Employment and Labor Office referring Coupang to prosecutors in January for unpaid severance pay at its logistics subsidiary, Coupang Fulfillment Services (CFS), only for the Bucheon Branch of the Incheon District Prosecutors' Office to dismiss the case without indictment in April.
Beomseok Kim, Chairman of Coupang Inc.
Despite various controversies, founder Beomseok Kim has not made any public statements on these issues, leading to criticism that he is neglecting both management and social responsibility. As a U.S. citizen, he has cited overseas stays as a reason for not attending National Assembly hearings or audits, and although he effectively controls Coupang, he has not been designated as the "same person" (de facto owner) by the Fair Trade Commission.
Jeong Yeonseung, a professor at Dankook University's School of Business Administration, commented, "While Coupang has achieved rapid growth and established a dominant position, it may have been insufficient in building a systematic organizational culture or systems compared to its technological advancements. This incident should serve as an opportunity for the company to offer a sincere apology and a responsible response to the public, and to strengthen investments not only in technology but also in human resources, education, social responsibility, and customer service."
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