(Adds comment from strategist, background on Biderman)
By Alastair Sharp
TORONTO, Aug 28 (Reuters) - The chief executive of
infidelity website Ashley Madison's parent company Avid Life
Media has left, just over a week after hackers leaked data about
millions of its clients in a massive cyber assault.
Avid Life said on Friday the departure of Noel Biderman was
by "mutual agreement" and its existing senior management team
would take over until a new CEO is appointed.
On Aug. 18, hackers who claimed to be unhappy with its
business practices released the Ashley Madison customer data,
and police probing the breach said it had sparked extortion
attempts and at least two unconfirmed suicides.
The data dump contained email addresses of U.S. government
officials, UK civil servants and workers at European and North
American corporations, taking already deep-seated fears about
Internet security and data protection to a new level.
"This change is in the best interest of the company and
allows us to continue to provide support to our members and
dedicated employees," the Toronto-based company said.
Biderman, styling himself the "King of Infidelity," had been
the company's primary pitchman but the married father of two has
not made any public appearances since the attack.
His exit could help appease investors and business partners
but would do little to placate subscribers or the public, said
Dan Hill, president of strategic communications firm Ervin Hill
Strategy.
"Given the number of battles they are fighting that are so
significant and high profile, I don't see how this is going to
move the needle for them," he said.
He said Avid Life would have to find a replacement fast.
"You can't run an organization through a crisis by
committee," he said.
Biderman founded Ashley Madison in 2001 and Avid Life Media
acquired it in 2007.
A second data dump by the hackers released thousands of
Biderman's emails and other company documents.
Reuters could not independently verify the authenticity of
the data, emails or documents.
To date, few top executives have lost their jobs after big
cyber breaches.
Sony Pictures America co-chairman Amy Pascal stepped down in
February after last year's devastating breach at Sony Corp's
6758.T Hollywood studio and Target Corp (NYSE:TGT) TGT.N replaced its
CEO last year in the wake of a 2013 breach that exposed records
of tens of millions of the retailer's customers.
Cyber security firm Veracode Chief Technology Officer Chris
Wysopal said he expects such ousters to become more common.
"Breaches are huge financial issues, even existential issues
for companies. They are getting bigger and more impactful to the
companies being breached," he said.