CrowdStrike claws back market value after triggering largest IT outage in history

Date:
Mon, 06 Jan 2025 12:01:00 +0000

Description:
Despite taking a heavy hit after the July 2024 outage, CrowdStrikes market value is now close to where it was previously

FULL STORY ======================================================================CrowdStr ike says it has regained $30 million in market value as share prices climb
The company retained 97% of its customers following July 2024 outage CrowdStrike says accountability and swift action helped recovery

CrowdStrike has revealed it has succesfully regained much of the market value it lost following the major July 2024 outage affecting its products.

Shares in the company had dropped to a low of $217.89 as a result of a drop
in investor confidence, however CrowdStrike has been working hard to rectify that.

Now, shares are approaching $360 as the company begins to restore its market trust, regaining $30 billion in value since the incident. CrowdStrike
recovery

The company says the increase has been mainly helped by customer satisfaction
in the incidents financial quarter, the company still managed to retain 97% of its customers.

CEO George Kurtz told the Financial Times in an interview: Customers are staying with us.

He added: We had one customer say that broken bones heal stronger and they dont expect this to reoccur. Conversely, from a competitor standpoint, that hasnt gone through something like this, theres probably more risk.

Despite signs of restoration, CrowdStrike did receive its fair share of criticism, including a $500 million lawsuit by Delta Airlines , one of the hardest affected companies, which saw more than 7,000 flights grounded as
part of the widespread outage that broke an estimated 8.5 million Windows servers .

Although the effects were felt globally, SVP Adam Meyers stressed in a
hearing that the incident was not the result of a cyberattack, reinforcing
the companys commitment to cybersecurity in a year that saw increasing
threats fuelled by generative AI.

The companys quick reaction and acceptance of accountability also helped to restore confidence. Mauricio Sanchez, senior director of enterprise security and networking research at DellOro Group, said (via Cybersecurity Drive ): Kurtzs quick apology for a defective software update is rare in cybersecurity
I cant think of any other case but reflects a growing trend of corporate accountability.

The CEO took to a company blog post to sincerely apologize for the incident just days after it occurred, highlighting the importance of customer and partner trust and confidence. You might also like CrowdStrike reveals what went wrong and it's pretty much what we expected Check out our roundup of
the best endpoint protection software Give your workers more cybersecurity knowledge with the best online learning platforms



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Link to news story: https://www.techradar.com/pro/crowdstrike-claws-back-market-value-after-trigge ring-largest-it-outage-in-history


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