UPDATE: Sony Shuts Down Another Online Game Unit After Hack Attack

Sony Corp. (SNE, 6758.TO) shut down a second online video-game unit amid an expanding investigation of a computer hack that may have compromised the personal information of as many as 77 million users, the latest black eye for the Japanese technology giant.

Sony Online Entertainment, a San Diego-based subsidiary that makes multiplayer role-playing games, said it temporarily shut down services on Sunday evening amid concerns a hacker may have breached its security. Two weeks ago, the company shut down its PlayStation Network, which lets gamers play against each other online, after it discovered a hacker had stolen names, birth dates and possibly credit-card numbers from the network.

Sony said the shutdown of Sony Online Entertainment, which hosts the popular "EverQuest" role-playing game, was prompted by an expansion of the initial investigation, not a separate attack.

"We temporarily took down SOE's services as part of our continued investigation into the external intrusion that occurred in April," said Michele Sturdivant, a Sony Online Entertainment spokeswoman. "This is not a second attack."

The high-profile attacks come as videogames increasingly add online functionality. What began as ways to allow gamers to compete with each other has grown into an industry of video and music services, as well as chat rooms and additional videogame content. Tens of millions of gamers now spend hours using the online hubs, representing millions of dollars in potential revenue potential for an industry still recovering from the recession.

Sony has said it discovered the attack on the PlayStation Network between April 17 and April 19. It shut the game service on April 20, prompting outrage among its predominantly youthful user base. A week later, the company acknowledged personal information had been stolen, prompting concerns about identity theft and an inquiry from members of the U.S. Congress.

On Monday, Congresswoman Mary Bono Mack's (R., Calif.) office said Sony had declined to testify before the Congressional Committee on Energy and Commerce, which Bono Mack sits on, according to Ken Johnson, her spokesman. However, the company agreed to provide written answers to questions on Tuesday, he said.

"While we certainly understand the company's going through a difficult period, millions of American consumers are twisting in the wind and we are determined to get answers for them," Johnson said.

A Sony representative did not immediately respond to a request for comment on the company's decision.

Separately, Sony's U.S.-based PlayStation unit denied on Monday reports the hackers had tried to blackmail the company by selling millions of allegedly stolen credit-card numbers back to it.

"To my knowledge there is no truth to this report of a list, or that Sony was offered an opportunity to purchase the list," Sony spokesman Patrick Seybold said in a statement.

-By Ian Sherr, Dow Jones Newswires; 415-439-6455; ian.sherr@dowjones.com

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