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Malicious actors trying to exploit global tech outage for their own gain

As the world continues to recover from massive business and travel disruptions caused by a faulty software update from cybersecurity firm CrowdStrike, malicious actors are trying to exploit the situation for their own gain. Government cybersecurity agencies across the globe and CrowdStrike CEO George Kurtz are warning businesses and individuals about new phishing schemes that involve malicious actors posing as CrowdStrike employees or other tech specialists offering to assist those recovering from the outage. “We know that adversaries and bad actors will try to exploit events like this,” Kurtz said in a statement. “I encourage everyone to remain vigilant and ensure that you’re engaging with official CrowdStrike representatives.”

Quick Read

  • Malicious Exploitation of Global Tech Outage
  • Context: The recent global tech outage, caused by a faulty update from CrowdStrike, has led to significant disruptions, prompting malicious actors to exploit the situation.
  • Phishing Schemes: Cybersecurity agencies and CrowdStrike CEO George Kurtz are warning about phishing attempts where bad actors pose as CrowdStrike or other tech specialists to exploit the outage.
  • Microsoft’s Report: Microsoft stated that 8.5 million Windows devices were affected, representing less than 1% of all Windows machines. The disturbance highlights the interconnected nature of global tech systems.
  • Impact on Air Travel
  • Flight Cancellations: Over 2,000 flights were canceled worldwide on Saturday, a decrease from the previous day’s over 5,100 cancellations. U.S. airlines faced the highest number of cancellations, with around 1,600 flights canceled.
  • Affected Airlines: Delta Air Lines and United Airlines were significantly impacted. Delta canceled more than 800 flights, while United dropped nearly 400.
  • Airports: Hartsfield-Jackson Atlanta International Airport experienced severe disruptions, while European airports like Heathrow and Berlin’s main airport showed gradual recovery.
  • Healthcare System Disruptions
  • Service Interruptions: Healthcare systems faced clinic closures, canceled surgeries, and restricted access to patient records. Cedars-Sinai Medical Center in Los Angeles reported progress in restoring its systems.
  • Austrian and German Healthcare Response: The outage highlighted vulnerabilities in digital systems, leading to calls for analog backups and improved crisis management. Schleswig-Holstein University Hospital in Germany plans to resume elective surgeries by Monday.
  • Industry Reactions and Future Implications
  • Tech Industry Concerns: Former U.K. cybersecurity official Ciaran Martin questioned the quality control processes at CrowdStrike. Analysts like Gartner’s Eric Grenier suggested that the outage might not lead to new mandates but highlighted the need for improved quality assurance.
  • Scam Risks: Scammers are using the outage to target businesses with phishing emails and calls, exploiting knowledge of the affected tech systems. Businesses are advised to rely only on official fixes from CrowdStrike.

The Associated Press has the story:

Malicious actors trying to exploit global tech outage for their own gain

Newslooks- (AP)

As the world continues to recover from massive business and travel disruptions caused by a faulty software update from cybersecurity firm CrowdStrike, malicious actors are trying to exploit the situation for their own gain.

Government cybersecurity agencies across the globe and CrowdStrike CEO George Kurtz are warning businesses and individuals about new phishing schemes that involve malicious actors posing as CrowdStrike employees or other tech specialists offering to assist those recovering from the outage. “We know that adversaries and bad actors will try to exploit events like this,” Kurtz said in a statement. “I encourage everyone to remain vigilant and ensure that you’re engaging with official CrowdStrike representatives.”

Planes line up at gates at Chicago O’Hare International Airport, in Chicago, Friday, July 19, 2024. Transport providers, businesses and governments are rushing to get all their systems back online after long disruptions following a widespread technology outage. (AP Photo/Carolyn Kaster)

The UK Cyber Security Center said they have noticed an increase in phishing attempts around this event. Microsoft said 8.5 million devices running its Windows operating system were affected by the faulty cybersecurity update Friday that led to worldwide disruptions. That’s less than 1% of all Windows-based machines, Microsoft cybersecurity executive David Weston said in a blog post on Saturday.

An IT field services technician works on software on an information display near United Airlines gates at Chicago O’Hare International Airport, in Chicago, Friday, July 19, 2024. Transport providers, businesses and governments are rushing to get all their systems back online after long disruptions following a widespread technology outage. (AP Photo/Carolyn Kaster)

He also said such a significant disturbance is rare but “demonstrates the interconnected nature of our broad ecosystem.”

What’s happening with air travel?

With their tightly timed, interwoven schedules and complex technology systems, many big airlines struggle to stay on time when everything goes well. It perhaps was not surprising that the industry was among the hardest hit by the outage, with crews and planes caught out of position.

By mid-afternoon Saturday on the U.S. East Coast, airlines around the world had canceled more than 2,000 flights, according to tracking service FlightAware. That was down from 5,100-plus cancellations on Friday.

A patron walks out of a Starbucks at Phoenix Sky Harbor International Airport Friday, July 19, 2024, in Phoenix. A global technology outage grounded flights, knocked banks offline and media outlets off air after a faulty software update disrupted companies and services around the world and highlighted their dependence on just a handful of providers (AP Photo/Ross D. Franklin)

About 1,600 of Saturday’s canceled flights occurred in the United States, where carriers scrambled to get planes and crews back into position after massive disruptions the day before. According to travel data provider Cirium, U.S. carriers canceled about 3.5% of their scheduled flights for Saturday. Only Australia was hit harder. Canceled flights were running at about 1% in the United Kingdom, France and Brazil and about 2% in Canada, Italy and India among major air-travel markets.

Seen from a United Airlines flight en route to Cincinnati, a plane taxis at Chicago O’Hare International Airport, in Chicago, Friday, July 19, 2024. Transport providers, businesses and governments are rushing to get all their systems back online after long disruptions following a widespread technology outage. (AP Photo/Carolyn Kaster)

Robert Mann, a former airline executive and now a consultant in the New York area, said it was unclear exactly why U.S. airlines were suffering disproportionate cancellations, but possible causes include a greater degree of outsourcing of technology and more exposure to Microsoft operating systems that received the faulty upgrade from CrowdStrike.

Which airlines are getting hit the hardest?

Delta Air Lines canceled more than 800 flights, or one-fourth of its schedule for Saturday, and that number did not include Delta Connection regional flights. It was followed by United Airlines, which dropped nearly 400 flights.

American Airlines planes wait at gates at Phoenix Sky Harbor International Airport Friday, July 19, 2024, in Phoenix. An overnight outage was blamed on a software update that cybersecurity firm CrowdStrike sent to Microsoft computers of its corporate customers including many airlines. (AP Photo/Ross D. Franklin)

The worst airport to be, for a second straight day, was Hartsfield–Jackson Atlanta International Airport, where Delta is the dominant carrier. The Atlanta Journal-Constitution reported that thousands of people spent the night at the airport, many sleeping on the floors.

European airlines and airports appeared to be recovering slowly, although Lufthansa and its affiliates canceled dozens of flights. Its Eurowings budget subsidiary said check-in, boarding, booking and rebooking flights were all available again, although “isolated disruptions” were possible.

Retired IT Technician William Taylor lines up to purchase a four-day train ride ticket to Jackson, Mississippi, at Union Station in Los Angeles, Friday, July 19, 2024, as a widespread Microsoft outage disrupted flights, banks, media outlets, and companies worldwide. (AP Photo/Damian Dovarganes)

London’s Heathrow Airport said it was busy but operating normally on Saturday and that “all systems are back up and running.” Flights at Berlin’s main airport were departing on or close to schedule, German Press Agency dpa reported, citing an airport spokesman.

How are healthcare systems holding up?

Health care systems affected by the outage faced clinic closures, canceled surgeries and appointments and restricted access to patient records. Cedars-Sinai Medical Center in Los Angeles, Calif., said “steady progress has been made” to bring its servers back online and thanked its patients for being flexible during the crisis. “Our teams will be working actively through the weekend as we continue to resolve remaining issues in preparation for the start of the work week,” the hospital wrote in a statement.

An IT field services technician works on software on an information display near United Airlines gates at Chicago O’Hare International Airport, in Chicago, Friday, July 19, 2024. Transport providers, businesses and governments are rushing to get all their systems back online after long disruptions following a widespread technology outage. (AP Photo/Carolyn Kaster)

In Austria, a leading organization of doctors said the outage exposed the vulnerability of relying on digital systems. Harald Mayer, vice president of the Austrian Chamber of Doctors, said the outage showed that hospitals need analog backups to protect patient care.

The organization also called on governments to impose high standards in patient data protection and security, and on health providers to train staff and put systems in place to manage crises. “Happily, where there were problems, these were kept small and short-lived and many areas of care were unaffected” in Austria, Mayer said.

Passengers wait at Benito Juárez International Airport in Mexico City, Friday, July 19, 2024. Some flights were canceled and others were delayed amid a global technology outage. (AP Photo/Marco Ugarte)

The Schleswig-Holstein University Hospital in northern Germany, which canceled all elective procedures Friday, said Saturday that systems were gradually being restored and that elective surgery could resume by Monday.

Will the tech industry face a reckoning?

“I wasn’t that surprised that an accident caused severe global digital disruption. I was a little surprised that the cause of it was a software update from a very well-respected cybersecurity company,” said Oxford University management professor Ciaran Martin, a former chief executive of the U.K.’s National Cyber Security Center. “There are some very hard questions for CrowdStrike. How on earth did this update get through quality control?” he said. “Clearly the testing regime, whatever it is, failed.”

Martin said governments in the U.K. and the European Union will be powerless to take steps to prevent such breakdowns “because we have become dependent on a very American version of technology, and the power to do anything about that doesn’t rest in this continent.”

Other analysts doubted that the outage would lead Washington or any other government to propose new mandates on tech companies. “I don’t know what the mandate would be. Do better QA?” said Gartner analyst Eric Grenier, using an acronym for quality assurance.

What did scam artists learn from the outage?

Grenier expects that a majority of affected machines will be fixed in about a week, with more time needed to reach laptops used by far-flung workers because the work can’t be done remotely – it’s a hands-on operation.

In the meantime, there will be scammers trying to take advantage of businesses that have indicated they were affected by the outage. “The threat is very real,” Grenier said. “Bad actors have the information to send targeted phishing emails and calls. They know what endpoint-protection tools you use. They know you use CrowdStrike.” Grenier said affected businesses need to make sure they use a fix supplied by CrowdStrike. “Don’t accept the help of somebody coming out of the blue and saying, ‘I’ll fix that for you,’” he said.

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