CrowdStrike CEO says 97% of Windows sensors back online after major outage

Technology
Friday, July 26th, 2024 1:59 pm EDT

Key Points

  • System Recovery and Apology: CrowdStrike CEO George Kurtz announced that over 97% of Windows sensors are back online following a major IT outage triggered by a buggy update. The incident, which affected many large business users worldwide, caused widespread disruptions including flight cancellations and business closures. Kurtz apologized for the chaos, emphasizing CrowdStrike’s commitment to full recovery and effective response, despite the reputational and operational challenges.
  • Clarification on Apology Gift Cards: Amidst the crisis, a TechCrunch article erroneously claimed that CrowdStrike was offering $10 Uber Eats gift cards to apologize to customers. CrowdStrike clarified that these gift cards were only sent to internal team members and external partners assisting with the situation. The company stated that Uber flagged the high usage rates as fraud, denying any offer to customers. The intention was to show appreciation to partners, not to compensate customers, countering the incorrect reports.
  • Impact on CrowdStrike’s Reputation and Stock: The incident severely impacted CrowdStrike’s stock price, with CEO Kurtz working to manage the fallout. Despite the challenges, Kurtz reiterated the company’s dedication to resolving the issue and supporting its customers, underscoring the urgent and focused efforts to restore service and maintain trust.

CrowdStrike CEO George Kurtz reported that over 97% of Windows sensors are back online following a significant IT outage caused by a buggy update from the cybersecurity firm. The update, intended as a routine measure, inadvertently caused Microsoft’s Windows operating system to crash, leading to widespread disruption. Users around the world faced blue screen errors, resulting in canceled flights, early business closures, and challenges for medical staff.

CrowdStrike responded by rolling back the update to resolve the issue. Despite this corrective action, the company has faced significant reputational damage, reflected in its declining share price. Kurtz publicly apologized for the disruption and emphasized the company’s commitment to fully restoring service and supporting affected customers. He acknowledged the imperfection in their processes but assured a focused and urgent response to the incident.

A TechCrunch article mistakenly reported that CrowdStrike offered $10 Uber Eats gift cards as an apology to customers. However, CrowdStrike clarified that these gift cards were given to internal team members and external partners assisting with customer support during the crisis, not to customers or clients. Uber flagged the high usage rate of these cards as fraud. CrowdStrike reiterated that the intention behind the gift cards was to show appreciation to their partners, correcting the earlier mischaracterization by TechCrunch.

The incident has highlighted the challenges and potential fallout of software updates in the cybersecurity sector, with CrowdStrike taking steps to manage the aftermath and ensure customer trust and system stability moving forward.

For the full original article on CNBC, please click here: https://www.cnbc.com/2024/07/26/crowdstrike-ceo-says-97percent-of-windows-sensors-back-online-after-outage.html