On July 19, 2024, a significant computer crash caused by a CrowdStrike update resulted in the grounding of over 18,000 flights worldwide, including 1,200 in the United States. The incident has drawn attention to CrowdStrike’s extensive influence and its connections to major political and economic entities.
CrowdStrike CEO George Kurtz explained that the crash was due to a “defect found in a single content update for Windows hosts,” which disrupted Microsoft operations globally. This event has brought CrowdStrike back into the public eye, reminding many of the company’s involvement in political controversies and its connections to powerful organizations.
CrowdStrike has been a key player in the cybersecurity field, recognized by the World Economic Forum (WEF) as a “Technology Pioneer” in 2015. The company later partnered with the WEF in 2020 to combat cybercrime using artificial intelligence. These partnerships highlight CrowdStrike’s significant role in global cybersecurity efforts.
Investment giant Vanguard is CrowdStrike’s largest shareholder, holding a 12.41% stake through its Vanguard Index Funds. BlackRock also owns a smaller portion of the company. This high concentration of ownership by major investment firms has raised concerns about their influence over critical technology companies.
CrowdStrike’s involvement in the 2016 Democratic National Committee (DNC) hack investigation remains a contentious issue. The company attributed the hack to Russian intelligence, leading to extensive political fallout and the investigation into former President Donald Trump. Trump questioned why the FBI was not allowed to investigate the DNC server directly, suggesting CrowdStrike, allegedly connected to Ukraine, was brought in instead.
These claims were highlighted during Trump’s phone call with Ukrainian President Volodymyr Zelenskyy, contributing to Trump’s impeachment. The recent crash has revived these concerns, with critics questioning CrowdStrike’s role and the risks associated with its access to global computer systems.
Peter Gietl of Return expressed concerns about CrowdStrike’s level of access. “CrowdStrike had kernel access to most of the systems around the world,” Gietl said. “This seems very dangerous, allowing a hacker or an accident to crash systems around the world.”
Former House Speaker Nancy Pelosi reportedly holds significant investments in CrowdStrike, estimated between $500,000 and $1,000,000. This adds another layer of complexity to the company’s political connections and the potential conflicts of interest.
As investigations into the crash continue, CrowdStrike’s influential position in cybersecurity, politics, and global economics remains under scrutiny. The incident serves as a reminder of the potential risks and far-reaching implications of relying on a few key players in the tech industry.
