CrowdStrike President Strikes Back Against Competition Capitalizing On Global Microsoft Windows Outage: 'People Know Really Quickly Fact From…Shady Commentary'

CrowdStrike Holdings Inc.’s (NASDAQ:CRWD) president, Michael Sentonas, has criticized competitors like SentinelOne, Inc. (NYSE:S) and Trellix for allegedly exploiting global outage situation to promote their products.

What Happened: Sentonas has accused rivals of using “shady” tactics to scare CrowdStrike’s customers and steal market share following a software update that led to a global IT outage, reported Financial Times.

Competitors, including SentinelOne and Trellix, have criticized CrowdStrike’s product design and testing processes, blaming them for the disruption.

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Sentonas defended his company, stating that no vendor could “technically” guarantee that their software would never cause a similar incident.

“Our industry is built on trust,” he said, adding that competitors trying to exploit the situation to promote their products undermine themselves because, ultimately, “people know really quickly fact from, possibly, some shady commentary.”

Previously, SentinelOne's chief information security Officer Alex Stamos cautioned in a LinkedIn post that it was “dangerous” for CrowdStrike to suggest that any security product could have caused this type of global outage.

Trellix, a privately held company, also reassured its clients that they don't need to worry about experiencing a similar incident, the report noted

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Why It Matters: Insurers have estimated that losses from the disruption, which grounded flights and shut down hospital systems, could run into billions of dollars.

Delta Air Lines, which canceled more than 6,000 flights, has estimated that the outages will cost it $500 million and has threatened litigation.

CrowdStrike also faces a proposed class action lawsuit from air travelers affected by the outage, alleging negligence in testing and deploying its software.

Meanwhile, CrowdStrike’s lawyers have responded by stating that the company’s liability is capped “in the single-digit millions” by its contracts, and have claimed that Delta did not respond to their offer of help during the outage.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.