Wiz has apparently walked away from a deal with Google that would have valued the company at $23 billion.
The deal would have nearly doubled the $12 billion valuation of the startup from its most recent round of funding.
CEO of WIZ Assaf Rappaport told employees the company would pursue an IPO as originally planned.
Wiz was founded in 2020 and has grown rapidly. The company had been targeting an IPO as recently as May 2024. The business hit $100 million in annual recurring revenue after 18 months and reached $350 million last year.
Wiz’s cloud security products offer prevention, active detection and response, a portfolio that’s appealed to large firms and would have helped Google compete with Microsoft, which also sells security software.
CrowdStrike issue causes major outage affecting thousands of businesses around the world
The irony
It has been widely reported that an ‘update‘ by ‘cybersecurity‘ firm CrowdStrike led to a major IT outage on Friday 19th July 2024, impacting businesses around the world. Microsoft systems have been badly affected.
CrowdStrike statement
“The issue has been identified, isolated and a fix has been deployed,” CEO George Kurtz said in a statement on X. But not before untold havoc was caused across the globe.
Blue screen of death
The comments came after widespread reports of technical issues, with many Microsoft users around the world facing an error screen known as the ‘blue screen of death.’
Biggest IT fail ever – Elon Musk
Elon Musk on X called it the ‘Biggest IT fail ever’.
Problems
Reports flooded in all day from around the world of systems and businesses impacted by the issue.
Without going into individual failings, here are some of the areas impacted by this problem.
NHS and GP practices in the UK, airport delays, flight cancellations, SKY TV off air, Microsoft system failures, VISA issues, Sainsbury’s and Morrissons supermarket card payments down, banks hit, Lloyds, Tesco, airlines in U.S., Germany, Canada, Italy, India and around the globe. UK Rail payment systems down and trains cancelled, New York Metro train issues, schools, betting firms hit, finance, pharmacies, payrolls and even the Paris Olympic system too.
Interconnected frailty
I think you get the picture. This is by no means an exhaustive list – but it aptly demonstrates the severity of this failed system update and how interconnected our world has become.
Crowdstrike says global IT issues caused by ‘defect’ in ‘content update’
Here’s the full statement from George Kurtz, the CEO of Crowdstrike
“Crowdstrike is actively working with customers impacted by a defect found in a single content update for Windows hosts.
“Mac and Linux hosts are not impacted. This is not a security incident or cyberattack.
“The issue has been identified, isolated and a fix has been deployed.
“We refer customers to the support portal for the latest updates and will continue to provide complete and continuous updates on our website.
“We further recommend organisations ensure they’re communicating with Crowdstrike representatives through official channels.
“Our team is fully mobilised to ensure the security and stability of Crowdstrike customers.”
Who and what is Crowdstrike?
CrowdStrike is a cybersecurity firm established in 2011, dedicated to protecting major corporations and their hardware from cyber threats and vulnerabilities.
The company specializes in endpoint security, striving to block malicious software and files from compromising corporate networks via connecting devices like phones and laptops.
Additionally, CrowdStrike focuses on securing the data of businesses that have transitioned from hosting it on-premises to utilizing cloud-based services.
Should we worry?
As our world becomes over interconnected and closely Intergrated, should we be concerned about a handful of powerful companies dictating the tech world we live in?
I believe we should be concerned. This was just a routine upgrade and the company let us down.
I used to run my own IT business and upgrades and system improvements were a big part of my then tech life, so I have a pretty good understanding of these issues, especially performing a system upgrade.
Preparation is key. Sometimes things go wrong – the unforeseen. But you must quickly overcome the problem with a ‘backup’ contingency plan.
Others are depending on YOU!
My mantra then and it is still the same now: BACKUP! BACKUP! BACKUP!
You have to get these this right – but CrowdStrike didn’t!
Private equity firm Thoma Bravo has agreed to acquire Darktrace in a $5.32 billion (£4.25 billion) cash acquisition.
This translates to roughly $7.75 (£6.20) per share, which is a 44% premium over the company’s average share price as calculated over the last three months.
Darktrace, headquartered in Cambridge, focuses on cybersecurity, employing self-learning AI to counteract and automate reactions to cyber threats via its Darktrace ActiveAI Security Platform. The company caters to approximately 9,400 clients globally.
Thoma Bravo’s acquisition of Darktrace adds to its cybersecurity portfolio, which is currently estimated at around $45 billion in value.
The loss of Darktrace from the London Stock Exchange (LSE) was described as ‘disappointing news.’ There have been calls for greater pro-business reforms to help maintain London’s attractiveness for technology companies.
Darktrace was established in 2013 by Invoke Capital, an investment firm led by Autonomy’s founder Mike Lynch. He now holds a 3.9% stake in Darktrace, positioning him to gain just over $200 million from its sale. His wife holds an additional 2.9%.
Concurrently, Lynch is entangled in a fraud trial in San Francisco. He is reportedly facing accusations of being the ‘driving force’ behind significant fraud at Autonomy.
Autonomy was the software company he co-founded and eventually sold to Hewlett-Packard for $11 billion (£8.6bn) in 2011.
The acquisition represents a significant development in the cybersecurity industry.
A serious problem or a technical glitch? I call it the donut theory – where everything is perceived as good until… but it isn’t – when you can’t even buy a donut!
Recent issues highlight a growing problem
Due to a payment acceptance issue, the bakery chain Greggs has closed some of its outlets. Patrons encountered certain branches that were either shut or only accepted cash.
This incident comes after card payment systems failed at Sainsbury’s and Tesco on Saturday 16th March 2024, and at McDonald’s on Friday 15th March 2024, and at many other outlets over recent months. Instore shopping and home deliveries were all affected.
Failures
The recent system failures experienced by major UK retailers like Sainsbury’s, Tesco, and even McDonald’s have indeed raised concerns. While these incidents may seem isolated, they highlight broader issues related to technology infrastructure, reliance on digital systems, and the impact of such failures on businesses and consumers.
Potential implications and issues with system failures. We are so dependent on the ‘system’.
Dependency on Technology
Modern businesses heavily rely on technology for operations, from inventory management to payment processing. When systems fail, it disrupts daily operations, affecting customer satisfaction and revenue.
The recent incidents underscore the need for robust backup systems, redundancy, and thorough testing of software updates.
Customer Experience and Trust
System outages can frustrate customers who rely on these services. Delays in grocery deliveries or inability to pay via contactless methods can lead to dissatisfaction.
Trust in a brand can erode if such incidents occur frequently. Customers may seek alternatives or lose confidence in the retailer’s ability to provide reliable services.
Financial Impact
System failures can result in financial losses due to missed sales, refunds, and operational disruptions.
Companies invest significant resources in maintaining and upgrading their technology infrastructure. Failures can be costly both in terms of immediate losses and long-term reputation damage.
Cybersecurity Concerns
System glitches may raise questions about cybersecurity. While not all incidents are related to security breaches, any disruption can make consumers wary.
Retailers must continuously assess and enhance their security measures to protect customer data and prevent unauthorized access.
Supply Chain Vulnerabilities
Supermarkets are part of complex supply chains. System failures can impact suppliers, logistics, and distribution networks.
Ensuring resilience across the entire supply chain is crucial to prevent cascading effects.
Regulatory Compliance
Retailers must comply with regulations related to data protection, payment processing, and consumer rights. System failures could lead to legal and regulatory challenges.
Recent Cyberattacks and System Failures in the UK
Cyberattacks will all have malicious intent, such as accessing, changing, or destroying sensitive information; extorting money from users via ransomware; or interrupting normal business processes.
The digital age has brought unprecedented convenience and efficiency to our lives. However, it has also introduced new challenges, particularly in the realm of cybersecurity and system reliability. In the UK, several high-profile incidents have underscored these challenges. Here are ten recent serious cyberattacks and system failures that have occurred since 2022.
System Failures
NHS IT Failures: In December 2023, the Health Services Safety Investigations Body (HSSIB) reported that IT failures in the NHS have resulted in patient harm and even deaths. Urgent action is needed to address these issues.
Failing IT Infrastructure in the NHS: A report highlighted that the failing IT infrastructure is undermining safe healthcare in the NHS.
Failed Government IT Project: A failed government IT project to upgrade NHS computer systems in England ended up becoming one of the ‘worst and most expensive contracting fiascos’ in public sector history.
Abandoned NHS Patient Record System: In September 2013, an NHS patient record system, which would have been the world’s largest non-military IT system, was abandoned. The failed centralised e-record system cost the taxpayer over £10 billion.
Cyberattacks
Ransomware Attack on NHS: A ransomware attack on a software supplier hit the NHS across the UK, and there were fears that patient data may have been the target.
Ransomware Attack on Greater Manchester Police: The Greater Manchester police force fell victim to a ransomware hack, exposing details of officers’ name badges such as ranks, photos, and serial numbers.
Ransomware Attack on Royal Mail: The Royal Mail was affected by a ransomware attack.
Ransomware Attack on Capita: Outsourcing firm Capita was hit by a ransomware attack.
Ransomware Attack on Barts Health NHS Trust: The Barts Health NHS trust was affected by a ransomware attack.
Ransomware Attack on Redcar and Cleveland Council: In 2020, Redcar and Cleveland council fell victim to a ransomware attack and was locked out of its systems for almost three weeks.
Cyber-Attack on UK VoIP Providers: An ‘unprecedented’ and coordinated cyber-attack struck multiple UK-based providers of voice over internet protocol (VoIP) services.
Hackney Borough Council Cyber-Attack: Hackney Borough Council was hit by a cyber-attack which led to significant disruption to services and IT systems.
Exchange Email Hack: In March 2021, hundreds of UK companies were compromised as part of a global campaign linked to Chinese hackers.
Hacking of 23andMe Profiles: In December 2023, there was a hack of 6.9 million profiles at genetic test firm 23andMe.
Booking.com Customer Hacking: In November 2023, hackers increased attacks on Booking.com customers
And there have been many more. Whatever the reason; system failures or cyberattacks – the UK needs to seriously update and improve its resources and defences or suffer the serious consequences.
These incidents serve as a stark reminder of the importance of robust cybersecurity measures and reliable IT systems. As we continue to rely more heavily on digital systems, it is crucial that we learn from these incidents and take the necessary steps to prevent similar occurrences in the future.
Conclusion
In summary, while individual incidents may not indicate a systemic crisis, they serve as reminders for businesses and local authorities to invest in robust technology, disaster recovery plans, and proactive risk management. As technology continues to evolve, addressing these challenges becomes even more critical.
A recent cyber-attack on CTS, a company that provides IT services to law firms and other organisations in the UK legal sector.
It was reported the cyberattack occurred on Wednesday, 22nd November 2023, and caused a widespread outage that affected dozens of law firms and homebuyers.
The cyberattack was reportedly caused by a CitrixBleed bug that has targeted other firms in recent weeks.
Cybersecurity is a very important and relevant topic in today’s world. It refers to the practice of protecting systems, networks, and programs from digital attacks that can harm individuals and organizations.
Cyberattacks will all have malicious intent, such as accessing, changing, or destroying sensitive information; extorting money from users via ransomware; or interrupting normal business processes.
Cybersecurity aims to prevent or mitigate these attacks by using various technologies, measures, and practices.
There are many types of cybersecurity, depending on the domain or layer of IT infrastructure that needs to be protected.
Critical infrastructure security
This protects the computer systems, applications, networks, data and digital assets that a society depends on for national security, economic health and public safety. For example, the power grid, the water supply, the transportation system, the health care system, etc.
In the United States, there are some guidelines and frameworks for IT providers in this area, such as the NIST cybersecurity framework and the CISA guidance.
Network security
This prevents unauthorized access to network resources and detects and stops cyberattacks and network security breaches in progress. For example, firewalls, antivirus software, encryption, VPNs, etc. Network security also ensures that authorized users have secure access to the network resources they need, when they need them.
Application security
This protects applications from cyberattacks by ensuring that they are designed, developed, tested, and maintained with security in mind. For example, code reviews, vulnerability scanning, penetration testing, secure coding practices, etc. Application security also involves educating users about safe and responsible use of applications.
Cyberattacks will all have malicious intent, such as accessing, changing, or destroying sensitive information; extorting money from users via ransomware; or interrupting normal business processes.
There are many more types of cybersecurity, such as cloud security, endpoint security, data security, identity and access management (IAM), etc. Each type of cybersecurity has its own challenges and solutions.
Companies to watch
Cybersecurity companies such as CrowdStrike, Okta, Zscaler and Palo Alto Networks are valuable assets with businesses willing to pay good money to protect against hackers.
The U.S. cyber hacker challenge is a new initiative launched by the Biden administration in August 2023 to use artificial intelligence (AI) to protect critical U.S. infrastructure from cybersecurity risks.
The challenge will offer $20 million in prize money and includes collaboration from leading AI companies Anthropic, Google, Microsoft and OpenAI, who will make their technology available for the competition. The challenge was announced at the Black Hat USA hacking conference in Las Vegas.
The competition will consist of three stages
Qualifying event in the spring of 2024
Semifinal at DEF CON 2024
Final at DEF CON 2025
The competitors will be asked to use AI to secure vital software and open source their systems so that their solutions can be used widely (does that create a risk in itsellf)? The top three teams will be eligible for additional prizes, including a top prize of $4 million for the team that best secures vital software.
The challenge aims to explore what’s possible when experts in cybersecurity and AI have access to a suite of cross-company resources. The U.S. government hopes that the promise of AI can help further secure critical U.S. systems and protect Americans from future cyber attacks!
Limitations and risks using AI for security
However, there are flaws and drawbacks of using AI for cybersecurity, both for the attackers and the defenders.
Lack of transparency and explainability: AI systems are often complex and opaque, making it difficult to understand how they make decisions or what factors influence their outputs. This can lead to trust issues, ethical dilemmas, and legal liabilities.
Overreliance on AI: AI systems are not infallible and may make mistakes or produce false positives or negatives. Relying too much on AI, without human oversight or verification can result in missed threats, erroneous actions, or unintended consequences.
Bias and discrimination: AI systems may inherit or amplify human biases or prejudices that are present in the data, algorithms, or design of the systems. This can result in unfair or discriminatory outcomes, such as excluding certain groups of people from access to services or opportunities, or targeting them for malicious attacks.
Vulnerability to attacks: AI systems may be susceptible to adversarial attacks, such as data poisoning, model stealing, evasion, or exploitation. These attacks can compromise the integrity, availability, or confidentiality of the systems, or manipulate them to produce malicious outputs.
High cost: Developing and maintaining AI systems for cybersecurity requires a lot of resources, such as computing power, memory, data, and skilled personnel. These resources may not be easily accessible or affordable for many organizations or individual.
‘Well, what do you think of AI and cybersecurity sharing resources’? ‘Ha! playing right into our hands’.
These are some of the flaws of using AI for cybersecurity, but they are not insurmountable. With proper research, regulation, education, and collaboration, AI can be a powerful ally in enhancing cybersecurity and protecting against cyber threats – that is until it takes over, but that will never happen… will it?
