July 25th, 2024

CrowdStrike backlash over $10 apology voucher

CrowdStrike is criticized for offering a $10 UberEats voucher after a major IT outage affecting airlines, banks, and hospitals, resulting in $5.4 billion in losses and a government investigation.

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CrowdStrike backlash over $10 apology voucher

CrowdStrike is facing criticism after offering a $10 UberEats voucher as an apology for a significant IT outage that disrupted operations for airlines, banks, and hospitals. The cybersecurity firm acknowledged that a faulty software update affected 8.5 million computers globally, leading to widespread issues, including "blue screens of death." In an email to partners, CrowdStrike expressed gratitude for their support during the incident, but the gesture was met with derision on social media, with some users highlighting the inadequacy of the compensation compared to the financial losses incurred. Reports indicate that the outage resulted in approximately $5.4 billion in losses for the top 500 US companies, with only a fraction insured. CrowdStrike admitted that the voucher system faced issues, as some recipients reported the codes being flagged as fraudulent due to high usage rates. Following the incident, CrowdStrike has committed to improving its software testing processes to prevent future occurrences. The company's CEO, George Kurtz, has apologized for the disruption, and cybersecurity experts have pointed out significant mistakes in the company's update deployment strategy. The US government has initiated an investigation into the incident, particularly focusing on Delta Airlines' response to the outage. CrowdStrike is expected to face further scrutiny, with Kurtz being called to testify before Congress regarding the implications of the incident on national security.

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