CrowdStrike Windows Outage Chaos, Experienced in the Philippines
On Friday, July 19, 2024, a faulty software update from cybersecurity firm
CrowdStrike led to widespread disruptions across multiple sectors,
notably impacting travel, finance, healthcare, and media.
The incident affected CrowdStrike customers using Microsoft Windows,
with the company confirming that the issue was not a result of hacking or a
cyberattack but an error related to its "Falcon sensor" product.
Air Travel Chaos in the Philippines
Air travel faced severe disruptions due to the software issue, grounding
flights and causing extensive delays. Thousands of flights were canceled, and
tens of thousands were delayed, leading to long lines and frustrated
passengers at airports worldwide. In Cancun, Mexico, 24 flights were canceled,
and 100 were delayed, with travelers attempting to keep spirits high by
singing together.
The CrowdStrike software update chaos was also felt in the Philippines,
particularly at NAIA Terminal 3. The Microsoft-based system outage led to
significant "technical issues" and "operational disruptions" on Friday, July
19, 2024, affecting the services of several airline companies. These
disruptions resulted in long lines, delays in check-ins, and inconveniences
for travelers as airline staff had to resort to manual processes to manage
operations amidst the peak travel season.
![NAIA Terminal 3 Crowdstrike](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEieTmysOS3J-QQVScPFCMIKR8iNexiwSRMe8J_0YsxBq2-4fmo-II3sgY36_htM4n2uBekfeGrU8fFYeYjtAN7lxcBzPbF9s6p7JLLHTU3OIPZ4-cXKW0g1VtyljMI57ATFhFmMqw5YWz9PQNruGF3L4i_I0QUnmSIPcBZSGNEba5B7FYE2E0JHGuTRkPiX/s16000/Naprey%20Almario.png)
The situation at NAIA Terminal 3 on July 19, 2024 as a result of the
Microsoft Global Outage. Photo Credit: Naprey Almario
Cebu Pacific was notably affected, experiencing system outages that further
complicated the busy travel season. The airline had to rely on backup systems
and manual processes to manage flight operations and customer service, adding
to the delays and inconvenience for travelers.
![Cebu Pacific Advisory Crowdstrike](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi8pjB6KHI9NnxfN7LM77XuEleahxx3DjaIzjPrwZPs2UHvQzaYacACh5s0c5ARgeTfJl8vXehJgyyXu5mCfefTkZSOyf6dsFEVG756Xi2cLlzag4kri80poKwTZY2m38iq_pCQZTFFm-buOQSsOVTsrY2jtatQVIW6-cqSQ7hFCynefMrG7VsK23NiVLI0/s16000/Crowdstrike%202.png)
AirAsia Philippines also reported operational disruptions related to check-in
processes and self-check-in kiosks due to the outage. First Officer Steve F.
Dailisan, Head of Communications and Public Affairs, stated that the airline
was in constant communication with its partners Navitaire and Microsoft to
restore full functionality as soon as possible. Passengers were advised to
monitor AirAsia's social media platforms for timely updates on flight status.
![AirAsia Crowdstrike Advisory](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhfq6DJoMXGYHJvlnPuNlucorBO7t0gxtg9f_oBUnlILUIJDojnG857j-QVR5M_fj4BM7_NeZSfJFSCvuENhLD8vRDXG0BaRIBntexFR_rb6PuhFDHDJOyM6pLYXH9PFUNG2Eltu50RbE8wMbG-MMicJviWRURi2b3jmM2xoWqgdCecuR2P8Vfk3nH-f98e/s16000/AirAsia.png)
Financial Sector Impact in the Philippines
The financial sector was significantly impacted, with major banks in the
Philippines issuing advisories about the disruptions.
Bank of the Philippine
Islands (BPI) reported that the issue had affected certain operations, causing
longer wait times in branches and delays in crediting financial transactions,
including bills payment and interbank fund transfers. BPI assured customers
that their technical team was working closely with the provider to resolve the
issue and that branches, ATMs, CAMs, online, and mobile banking services
remained available.
![BPI Advisory Crowdstrike](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgAgWSHIlsSz-YE1jWpG3P6xIajpoYIUjmBejHmdXHjGZiFfbOALCaDfypI_fS973SLH0FBut7SyOOvHBbC_b6HMFKkMQQMnUTSJwydKdlFWMjVdYclv3_YqY7tpxU0PVywn3E-IKw1WlJstc9ps_LFsB1mWkHPHVPO1w4cb4CF4j0eHOvXlerf80G0vkdu/s16000/BPI%20a.png)
Philippine National Bank (PNB) advised the public that they may experience intermittent issues with its
banking channels due to the global outage. The bank's technical team was on
standby to ensure that affected channels were restored to normal operations as
soon as possible.
![PNB Advisory Crowdstrike](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhdOkEfIRTAsYUbVDSoDOHzmFZdsvxT4yNABqOBIx9xfU1EmpD1Ib-TBYB9zqkt78EAk8ZumO8O46bRILNrGyIMbID27NTIQ4kLgtf5sXtb9w4sXoP-HVLkBkLTfov9F1Hha5dQV9zshGBRNt7-n50DmFMZbHp-AxpOeGJ8dr0OAaUdOoPxNaj3TM0sKfnf/s16000/PNB.png)
Metrobank informed customers of potential slowdowns or temporary
unavailability of some bank products and services through online channels.
Clients were advised to access their funds through ATMs or deposit funds via
Cash Accept Machines, with branch personnel ready to assist.
![Metrobank Advisory Crowdstrike](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgY1G8j8HHPmrNVdspa-ViQ7jiy63hlMFYSMpDSMpBQdSOoI0TrygVYs8eQKCH4hoVtwWzswx5fk3xUIqjvFwCXM_iK8OP7lVKQ5lq9hj9AGc1eRSJFJW2i3adffRoEuzRPr3gk85MudxhDwObTjusHsOYcV7J6gUaQ3L-WXurFGczi22WIBtsN495Wlrw1/s16000/Metrobank.png)
UnionBank reported that its Customer Service Hotline and some branch services
and online credit card transactions were temporarily unavailable due to the
global IT outage. Customers were encouraged to use the UnionBank Online app or
website, or any of the bank's ATMs nationwide, for continued access to
accounts and essential banking services.
![Unionbank Advisory CrowdStrike](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg5O60W5mZOQPTwDdJVRkH2d3is5HafbuZZe7YQQze0YAF-acQ6_G9ZNAbe5152OgpagGBrsRAeyCtMNxh33drXkq6nPb391Y0QHb5MhvNN8z-mqwCFdHPAqqgMaBDpw5ZGHImUWWEG0_By4-E-zWh_W4h4JCLn5x067mEy_NOUgrckvdwA6KkkdtlnAFeu/s16000/Unionbank.png)
International Media and Healthcare Disruptions
Several local TV stations in the United States were unable to air their
scheduled news programs early Friday. This was mirrored in Australia, where
national news outlets like ABC and Sky News went off-air for several hours.
Some news anchors had to broadcast from dark offices with blue error screens
in the background, illustrating the widespread nature of the issue.
Hospitals also faced significant operational challenges due to the software
update. Appointment systems were disrupted, leading to suspended patient
visits and canceled surgeries. In the United Kingdom, the National Health
Service reported widespread issues at most doctors' offices. At Massachusetts
General Hospital in the United States, all non-urgent surgeries and medical
visits were canceled for the day.
Corporate and Small Business Repercussions
Small businesses and government offices were not spared either. Many
experienced system outages that disrupted daily operations. In New York City's
Times Square, several giant electronic billboards displayed blue "recovery"
screens, and some remained dark well into the afternoon.
CrowdStrike's Response
CrowdStrike CEO George Kurtz issued an apology for a global technical failure that disrupted multiple industries, assuring that the company is working with all affected customers to restore their operations. Kurtz expressed deep regret on NBC News' "Today" program, stating, "We're deeply sorry for the impact that we've caused to customers, to travelers, to anyone affected by this, including our company."
Kurtz provided an update on the recovery process, mentioning that many customers are rebooting their systems and seeing them become operational again. He acknowledged that full recovery might take longer for some systems that do not automatically come back online but promised that CrowdStrike would ensure every customer is fully recovered. "It could be some time for some systems that won't automatically recover," he added.
Security experts criticized CrowdStrike for not conducting adequate quality checks on the routine update of its widely used cybersecurity software. The latest version of the Falcon Sensor software was intended to enhance security against hacking by updating threat defenses. However, faulty code in the update led to one of the most extensive tech outages in recent years, affecting companies using Microsoft's Windows operating system.
The update's problems quickly became evident as users shared images of computers displaying error messages, known as "blue screens of death," on social media. Steve Cobb, chief security officer at Security Scorecard, suggested that the flawed file might have bypassed the usual vetting process.
"What it looks like is, potentially, the vetting or the sandboxing they do when they look at code, maybe somehow this file was not included in that or slipped through," he explained. The incident disrupted global banks, airlines, hospitals, and government offices, requiring manual intervention to weed out the flawed code and restore systems.
Market Reaction
The market reacted sharply to the news, with shares of CrowdStrike falling by
more than 11 percent on Friday. Microsoft's stock price also saw a slight dip
of less than 1 percent. Despite the significant disruptions, forecasting firm
Capital Economics predicted that the impact on the global economy would be
minimal.
Looking Ahead
The incident underscores the critical role cybersecurity firms play in
maintaining the stability of various sectors. As organizations increasingly
rely on digital infrastructure, the need for robust and reliable cybersecurity
solutions becomes ever more paramount. This event may prompt companies to
reevaluate their cybersecurity strategies and ensure they have contingency
plans in place to mitigate similar risks in the future.
For the Philippines and other affected regions, this serves as a wake-up call
to bolster their cybersecurity measures and ensure that key sectors such as
travel, finance, and healthcare are better protected against such disruptions.
As Cebu Pacific and other local entities work to restore normalcy, the
importance of resilient and adaptive cybersecurity frameworks cannot be
overstated.
The CrowdStrike software update debacle of July 19, 2024, has exposed
significant vulnerabilities in our global systems and highlighted the urgent
need for enhanced cybersecurity measures and robust contingency planning. As
the world works to address the aftermath and prevent future occurrences, the
lessons learned from this incident will undoubtedly shape how businesses and
individuals navigate the complexities of our interconnected digital landscape
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