Recovering from the global tech outage could be a long, arduous process | CNN Business (2024)

Recovering from the global tech outage could be a long, arduous process | CNN Business (1)

Travelers wait in Terminal 1 for check-in at Hamburg Airport, in Hamburg, Germany, Friday July 19, 2024. A widespread Microsoft outage disrupted flights, banks, media outlets and companies around the world on Friday.

CNN

The company that caused a massive computer outage across the world says a flawed update has been rolled back – but that doesn’t necessarily help the thousands of businesses that have been affected by the glitch.

The CrowdStrike software issue at the heart of the outage runs at such a deep level in affected computers and systems that getting them up and running just to be fixed will be, in many cases, an enormous challenge.

That’s compounded by the fact that many of the servers that may contain information needed to get these systems working again are themselves caught in a cycle of crashing and rebooting.

And some affected computers might not even be easily accessible, set up in remote locations and intended to run without human intervention.

“I don’t think it’s too early to call it: this will be the largest IT outage in history,” said security expert Troy Hunt in a post on X.

The CrowdStrike software at fault operates at what’s called the kernel level of a computer, a much deeper level than what more ordinary applications such as browsers or video games do. This portion of a device has much greater visibility and control over a computer and its components, making it critical for the operation of all other systems — and far more sensitive.

Running at the kernel level means CrowdStrike’s software can do more to detect cyberattacks, but it also means the current bug is causing Windows computers to crash to a Blue Screen of Death before users can take any actions to correct it.

The issue appears to be recoverable, CrowdStrike has said, but in many cases it requires painstaking work: Each affected device must be accessed by an administrator and manually rebooted into safe mode. Then, the offending CrowdStrike file must be deleted by hand.

For businesses with hundreds or thousands of laptops, desktops and servers running CrowdStrike’s security software, an individual human may have to perform that process over and over and over again.

“You can’t automate that,” said Kevin Beaumont, a security researcher and former Microsoft threat analyst, in a post on X. “So this is going to be incredibly painful for CrowdStrike customers.”

On Friday, a Microsoft status page reported that some Windows Virtual Machine users have successfully recovered from the issue by repeatedly rebooting, in some situations up to 15 times in a row.

“We have received feedback from customers that several reboots (as many as 15 have been reported) may be required, but overall feedback is that reboots are an effective troubleshooting step at this stage,” Microsoft said on the page. The company did not speculate as to why the technique appears to work.

Affected organizations can also try to restore their machines to an earlier state by reverting to a previous system backup, Microsoft added, though it acknowledged that may not be possible in all cases.

“Companies that haven’t invested in rapid backup solutions are stuck in a catch-22,” said Eric O’Neill, a cybersecurity expert and former FBI counterintelligence official.

It gets worse.

Organizations that take security seriously will have likely encrypted their computers’ hard drives, making it even more challenging to access the file that needs to be deleted.

For those organizations, “you need to manually decrypt the disk with a BitLocker Recovery Key, which is probably — for most companies — stored digitally on one of the servers that is currently booting over and over,” said Ira Bailey, a security researcher, in a post on BlueSky.

Every affected computer that is BitLocker-encrypted will need to be unlocked with a recovery key before organizations can begin the process of deleting the bad CrowdStrike file and restoring normal operation, said the cybersecurity expert who goes by the pseudonymous handle SwiftOnSecurity in a post on X.

Recovery will be enormously expensive for Fortune 500 companies with large teams of IT staff and likely even more challenging for smaller firms, Kenn White, an independent security researcher who specializes in network security, told CNN.

“If you don’t have physical staff that can actually touch it, this is going to take many, many days for much of corporate America to recover from,” White said. “It’s just a ton of labor-intensive manual work.”

“It’s a fairly complicated procedure for non-technical people,” White added, “and even a lot of skilled IT professionals will find it difficult to do this at the scale that’s going to be required given the number of machines that are affected.”

How did the CrowdStrike bug lead to such widespread effects?

Because CrowdStrike’s security software is running on countless individual computers all around the globe, the update that got pushed to those devices caused them all to shut down, virtually simultaneously.

And in today’s networked economy, an outage in one part of a supply chain can cause domino effects up and down the line. When multiple parts of a supply chain go down, it touches off a cascade of problems.

Imagine a person trying to buy a coffee, said Andrew Peck, a cybersecurity expert at Loughborough University in the UK. What may seem like a simple transaction relies on multiple computers working in tandem, from the coffee shop’s point of sale to the payment processor’s own back-end systems.

“There are a lot of computers in this chain, and usually the larger the business, the larger the chain,” Peck said. “If any one of the computers are down in the chain, the transaction will not complete.”

It could take millions of person-hours of work by corporate IT professionals to fix all the computers that were affected, said O’Neill, the former FBI counterintelligence operative. But, he said, coming up with a firm estimate is difficult because it’s unknown how many computers were affected.

Imagine something like the massive aviation industry, the critical financial services sector or the life-or-death operations of a health care provider, and the scope of the disaster becomes starkly clear.

With many people now working from home, he said, IT professionals can’t just go desk-to-desk to fix different computers. Instead, they’ll have to communicate with individual employees and talk them through the process remotely.

“That magnifies the issue,” he said. “Something that could have been fixed in hours is going to take days.”

Some affected machines may be rarely serviced by people or located in remote areas. Others may not even have monitors or keyboards plugged in, because they don’t regularly require humans to directly interact with them.

The most extreme examples may include weather monitoring sensors or devices in railway signal boxes, Peck said, which could require technicians to physically visit potentially hundreds of thousands of machines to perform the recovery process.

Recovery will cost the world “thousands of hours and millions, potentially billions of dollars,” Peck said, which quickly adds up to “some very exhausted IT support teams burning budget they didn’t have.”

What is Microsoft’s role in all this?

A separate issue earlier, on Thursday, did lead to significant impacts on many of Microsoft’s own cloud customers, but it was resolved overnight and was unrelated to the CrowdStrike issue, Microsoft and multiple cybersecurity experts told CNN.

The CrowdStrike bug may have initially been conflated with the Microsoft issue because CrowdStrike’s error affected only Windows machines.

“Both are Microsoft-related, but Microsoft had nothing to do with the second incident,” White told CNN.

That appears to be supported by Microsoft’s own status account on X, which on Thursday announced an issue affecting “Microsoft 365 apps and services” and a separate announcement Friday addressing the CrowdStrike outage. The two issues are being tracked using different reference numbers.

As of Friday morning, Microsoft said the issue with Microsoft 365 had been resolved and that the situation was improving.

“The ongoing CrowdStrike issue is unrelated to a previous outage in the Central US Azure region on July 18, impacting Azure customers using that region as well as some Microsoft 365 services,” Microsoft said.

Microsoft CEO Satya Nadella acknowledged the CrowdStrike issue in a post on X Friday morning, saying Microsoft is “working closely with CrowdStrike and across the industry to provide customers technical guidance and support to safely bring their systems back online.”

Since the update to CrowdStrike’s software was delivered by the company’s own systems, it appears unlikely that Microsoft bears direct responsibility for Friday’s outages, said Beaumont, who said he reviewed a copy of CrowdStrike’s flawed update.

The problem with CrowdStrike’s update was that it wasn’t formatted correctly “and causes Windows to crash every time,” Beaumont posted on X.

CNN’s Olesya Dmitracova and Chris Isidore contributed reporting.

This story has been updated with additional context and developments.

Recovering from the global tech outage could be a long, arduous process | CNN Business (2024)

FAQs

What is the cause of the global tech outage? ›

Last week's global tech outage has been traced back to a bug in U.S. cybersecurity firm CrowdStrike's quality control system. The outage's impacts have been far-reaching, affecting roughly 8.5 million Windows devices and disrupting banks, emergency call centers and airlines.

What caused the CrowdStrike issue? ›

The root cause of the outage was a faulty sensor configuration update that specifically affected Windows systems. The channel file 291 update was never issued to macOS or Linux systems as the update deals with named pipe execution that only occurs on the Microsoft Windows OS.

What caused the global outage? ›

What we know about the global Microsoft outage. A massive outage was caused by what was supposed to be a routine update from the cybersecurity company CrowdStrike. A routine software update caused cascading chaos Friday that has engulfed global businesses from airports and banks to retail and law enforcement.

When was the CrowdStrike outage? ›

Since the global outage on Friday 19 July 2024, CrowdStrike, a security technology provider, and Microsoft have each released tools and advice to facilitate recovery.

How much money was lost because of CrowdStrike? ›

CrowdStrike lost $20 billion in market value after the global tech outage.

What is the meaning of outage in technology? ›

3.10.

Outage is the breakdown or scheduled maintenance of a network component, meaning that this component is temporarily out of service. 'Interruption' means cessation of service to customers.

How do you survive a global blackout? ›

During a Blackout:
  1. Only use flashlights or battery operated lanterns for emergency lighting, candles and kerosene lanterns can cause fires.
  2. Leave one light turned on so you'll know when the power comes back on.
  3. Keep refrigerator and freezer doors closed. ...
  4. Remain cool if it is hot outside.

What was the longest outage in history? ›

To know more about some of the major blackouts in history, keep reading:
  • New York, 1977: The incident happened on July 13 - it affected most of New York City and left 9 million residents without electricity for almost 24 hours. ...
  • Auckland, 1998: This is the longest blackout in history, lasting 66 days.

Does the US government use CrowdStrike? ›

The extent of the impact on federal government operations is still not known. Crowdstrike is in wide use across federal agencies and it is a key vendor on the governmentwide Continuous Diagnostics and Mitigation cybersecurity support services contract.

Why is CrowdStrike falling? ›

Shares of CrowdStrike (CRWD) are still falling after a faulty update caused a global outage on Friday, sending the cybersecurity firm's shares plummeting, but some investors—including Cathie Wood's ARK Invest—are trying to buy the dip.

Who owns CrowdStrike? ›

The ownership structure of CrowdStrike Holdings (CRWD) stock is a mix of institutional, retail and individual investors. Approximately 44.06% of the company's stock is owned by Institutional Investors, 2.19% is owned by Insiders and 53.75% is owned by Public Companies and Individual Investors.

How did the Microsoft outage happen? ›

The historic outage was the result of a faulty update from the cybersecurity company CrowdStrike that affected millions of computers running the Microsoft Windows operating system. Laura DeNardis is a professor and endowed Chair in Technology, Ethics, and Society and the director of the Center for Digital Ethics.

What was the global IT outage? ›

The disruption was caused by a flawed update to a cloud-based security software of CrowdStrike, one of the global top cybersecurity companies. The update to the Falcon software triggered a malfunction that disabled parts of the computer systems and software like Microsoft Windows.

How much did the CrowdStrike outage cost? ›

The massive CrowdStrike outage that affected millions of Microsoft devices is predicted to cost U.S. Fortune 500 companies $5.4 billion in total direct financial loss, with an average loss of $44 million per Fortune 500 company, according to new data from cloud monitoring and insurance firm Parametrix.

What is the global CrowdStrike? ›

CrowdStrike is the leader in next-generation endpoint protection, threat intelligence and response services. CrowdStrike's core technology, the Falcon platform, stops breaches by preventing and responding to all types of attacks — both malware and malware-free.

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