What is CrowdStrike? Understanding the firm behind recent Microsoft outage
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A technical problem, reportedly connected to U.S.-based cybersecurity firm CrowdStrike, led to disruptions in computers running Microsoft software across Australia and beyond today.
Impact of the global outage
- The widespread outage affecting numerous worldwide companies and government agencies.
- Many computers attempted to restart and displayed blue-screen error messages.
Understanding CrowdStrike
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What is CrowdStrike?
- CrowdStrike is an American cybersecurity firm that helps companies manage their security in “IT environments”– everything that uses an internet connection.
Primary functions
- Protect companies and prevent data breaches, ransomware, and cyber attacks.
- Serves major clients including global investment banks, universities, and the Australian betting agency TAB Corp.
Changes in the cybersecurity environment
- The cybersecurity landscape has evolved rapidly with an increase in threat actors targeting large businesses, such as Ticketmaster, Medibank, and Optus.
- More companies are turning to firms like CrowdStrike to protect their customers’ information.
CrowdStrike’s main product: Falcon
What is CrowdStrike used for?
- One of CrowdStrike’s key products is CrowdStrike Falcon.
- According to the company’s website, Falcon provides “real-time indicators of attack, hyper-accurate detection, and automated protection” from cybersecurity threats.
Recent incident
- Thousands of companies globally use CrowdStrike Falcon to protect data.
- A crash of CrowdStrike’s server on Friday is believed to have caused the global Microsoft software outage.
Recent update
- Earlier this week, CrowdStrike announced an update to its Falcon product, promising “unprecedented speed and precision” in detecting security breaches.
- In a statement following the outage, a CrowdStrike spokesperson indicated that the issue likely stemmed from the Falcon product.
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Ownership of CrowdStrike
Founding and ownership structure
- CrowdStrike was founded in 2012 by George Kurtz, a former McAfee employee.
- The company’s ownership is a mix of individual investors, institutions, and retail investors.
Major investors
- Approximately 40% of the company is owned by institutional investors, while about 57% is owned by public companies and individual investors.
- The largest shareholder is The Vanguard Group, a U.S. investment fund, holding about 6.79% of the company.