Free Trial

CrowdStrike's President Accepted an Award for the 'Most Epic Fail' — It's a Great Lesson in Leadership (and Humility)

After a single CrowdStrike update caused the largest IT outage in history last month, rippling across 8.5 million Windows devices, affecting 1.4 million travelers, and causing banking outages at JPMorgan and Bank of America, the last thing you'd expect is for the company to start receiving awards.

But on Saturday, CrowdStrike accepted a large, two-tiered trophy at the annual Pwnie Awards in Las Vegas — for the "most epic fail." Even more surprising? CrowdStrike President Michael Sentonas accepted the award in person.

"Definitely not the award to be proud of receiving," he said when accepting the award. "I think the team was surprised when I said straightaway that I would come and get it because we got this horribly wrong."

Sentonas said he wanted to bring the trophy back to CrowdStrike headquarters in Austin, Texas, so every CrowdStrike employee would see it and learn from the incident.

"From that perspective, I will say thank you and take the trophy," Setonas said. "We'll put it in the right place and make sure everybody sees it."

Though Sentonas accepted the award graciously, CrowdStrike's July 19 incident was more than a learning experience.

The outage was caused by a bug in a software update, which caused the blue screen of death on Microsoft Windows devices. The update delayed over 10,000 flights, resulted in canceled scheduled surgeries, disrupted 911 services, and impacted other operations across the globe.

It also may have cost Fortune 500 companies around $5.4 billion in damages. Delta wrote in a U.S. Securities and Exchange Commission filing last week that the outage affected 1.3 million of its customers, one day after some of those customers sued Delta in a class action lawsuit over how the airline handled canceled flights.

CrowdStrike was also sued by air travelers last week in a class action. CrowdStrike's shareholders additionally sued the company earlier this month after the company's share price dropped 32% in the 12 days after the outage.

Related: The Largest IT Outage in History Took Place on Friday Due to a Crowdstrike Update. Here's How the CEO Is Responding.

Should You Invest $1,000 in JPMorgan Chase & Co. Right Now?

Before you consider JPMorgan Chase & Co., you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and JPMorgan Chase & Co. wasn't on the list.

While JPMorgan Chase & Co. currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

Ten Starter Stocks For Beginners to Buy Now Cover

Just getting into the stock market? These 10 simple stocks can help beginning investors build long-term wealth without knowing options, technicals, or other advanced strategies.

Get This Free Report
Like this article? Share it with a colleague.

Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
JPMorgan Chase & Co. (JPM)
4.5522 of 5 stars
$243.47-0.5%2.30%12.33Moderate Buy$255.67
Compare These Stocks  Add These Stocks to My Watchlist 

Featured Articles and Offers

Recent Videos

7 Cybersecurity Stocks Outperforming the Market Right Now
Markets in Rally Mode: Will Earnings Keep It Going?
3 Tech Stocks to Buy Now—And 3 You’ll Regret Keeping

Stock Lists

All Stock Lists

Investing Tools

Calendars and Tools

Search Headlines