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CrowdStrike Software Update Causes Worldwide Chaos in Travel and Finance

Associated Press
July 20, 2024 | 11:02 am
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Customers wait in line at departure area for Spirit Airlines at LaGuardia Airport, Friday, July 19, 2024, in New York. (AP Photo/Yuki Iwamura)
Customers wait in line at departure area for Spirit Airlines at LaGuardia Airport, Friday, July 19, 2024, in New York. (AP Photo/Yuki Iwamura)

New York. A faulty software update from cybersecurity firm CrowdStrike caused worldwide disruptions on Friday, grounding flights, affecting financial firms and news outlets, and disrupting hospitals, small businesses, and government offices.

The update affected CrowdStrike customers running Microsoft Windows. CrowdStrike confirmed the issue was not due to hacking or a cyberattack and apologized, stating a fix was on the way.

CrowdStrike identified the problem as related to its "Falcon sensor" product. CEO George Kurtz apologized on NBC's "Today Show," saying the company was "deeply sorry for the impact" and acknowledged that the fix might take time, especially for customers lacking in-house expertise.

While CrowdStrike's update was automated, the fix requires hands-on work, such as deleting corrupted files, which could take days or longer for some customers, according to Forrester analyst Allie Mellen.

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Shares of CrowdStrike, based in Austin, Texas, fell more than 11 percent on Friday. Microsoft's stock price fell less than 1 percent. Despite the widespread impact, forecasting firm Capital Economics predicted minimal impact on the world economy.

Air Travel Chaos

Thousands of flights were canceled, and tens of thousands were delayed, causing long lines at airports globally. Airlines lost access to check-in and booking systems during the summer travel season.

In Cancun, Mexico, the state government reported 24 cancellations and 100 delayed flights. Stranded travelers kept spirits high by singing "Cielito Lindo" with a stranded band.

In Jakarta, the IT outage caused long queues at Soekarno Hatta International Airport. Airport management and airlines deployed additional staff and implemented manual check-in processes.

Media and Medical Disruptions

Several local TV stations in the US were unable to air news early Friday. State and local governments faced issues in courts, motor vehicle departments, unemployment agencies, emergency call centers, and other offices. By the end of the day, many systems were returning to normal.

In Australia, national news outlets like ABC and Sky News Australia went off-air for hours. Some news anchors broadcasted from dark offices with blue error screens.

Affected hospitals had problems with appointment systems, leading to suspended patient visits and canceled surgeries. Britain's National Health Service reported issues at most doctors' offices.

At Mass General Brigham in Massachusetts, all scheduled non-urgent surgeries, procedures, and medical visits were canceled Friday.

American Express and TD Bank reported transaction issues. Starbucks experienced ordering problems, causing long lines at some stores.

In New York City's Times Square, blue "recovery" screens appeared on several giant electronic billboards just before 12:30 a.m. A few remained dark Friday afternoon.

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