Uber and Walmart customer data at risk as its vendor Woflow gets compromised

The Woflow situation is a textbook third-party risk scenario that keeps playing out — a mid-size SaaS vendor holds data for enterprise customers, has fewer security controls than those customers would require of themselves, and becomes the weak link. ShinyhHunters specifically targets vendors like this because the breach-to-data ratio is favorable.

What makes vendor breaches particularly painful to respond to is that your incident response playbook doesn't really apply. You can't isolate the affected system, you can't pull logs from their infra, and your customers are asking you questions you literally cannot answer for 48-72 hours. The only real leverage you have is contractual — SLAs around breach notification, security attestations, right-to-audit clauses — and most orgs don't negotiate those until after something like this happens.

If you're a startup that processes data through third-party SaaS tools, what's your current process for assessing vendor security posture before integration? Questionnaire-based, SOC 2 report review, something else?