CrowdStrike global outage to cost US Fortune 500 companies $5.4B
A global technology outage from a faulty CrowdStrike update is estimated to cost US Fortune 500 companies $5.4 billion, affecting banking, healthcare, and airlines, with significant operational disruptions reported.
Read original articleA global technology outage caused by a faulty update from CrowdStrike is projected to cost US Fortune 500 companies approximately $5.4 billion, with banking, healthcare, and major airlines expected to incur the most significant losses. The incident, described as one of the largest IT failures in history, resulted in thousands of flight cancellations, disruptions in hospitals, and failures in payment systems worldwide. The update affected 8.5 million Windows machines, leading to widespread operational failures. CrowdStrike, a major cybersecurity firm, has seen its stock value drop by about 22% since the incident and has apologized for the crisis. The company plans to enhance its software testing protocols and implement gradual rollouts of updates to prevent similar occurrences in the future. An in-depth report on the outage's causes is expected to be released soon. Delta Air Lines, in particular, has faced ongoing challenges, with hundreds of flights canceled or rescheduled, prompting an investigation by the US Department of Transportation into its response to the situation. The outage highlights the vulnerabilities in modern technology systems, where a single faulty update can have far-reaching consequences across various industries.
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https://www.washingtonpost.com/transportation/2024/07/23/del...
Is there some good reason for this approach (need to get config updates into the wild as quickly as possible to combat zero-days or zero-hours?) or was this just a massive oversight?
Side rant... their postmortem took forever to get to the point, first explaining all their jargon and product names. Makes me really appreciate the Cloudflare ones.
If damages can be demonstrated, what are the chances of airlines successfully claiming compensation? Or, in practice, do such cases usually result in significant discounts during the next contract renewal rather than actual damages paid out?
https://techcrunch.com/2024/07/24/crowdstrike-offers-a-10-ap...
Soo. $5.4B - $10
https://www.crowdstrike.com/falcon-content-update-remediatio...
It boils down to the "Content Validator" had a bug and gave a false positive.
It's kind of crazy that the 'rapid response content' update was then free to go out direct to production machines with zero actual live testing.
That's either due to c-suite excel cost-cutting/maximize profit or silicon valley yolo.
"We don't have enough time to write tests"
"Developers should be able to test their own code"
Yeah, I know using free software isn’t a panacea. Still it would be a step in the right direction, plus I could not refrain from the cheap shot at M$ Windows.
Let's blame bullshit compliance?
- Wrote code responsible for $5.4 billion
Probably a refund is all they’ll be on the hook for.
Sadly, damage done like this is just chalked up to an accident, and swept under the rug.
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