good morning. welcome to "worldwide exchange." we are following breaking news. a global software outage. airlines and stock exchanges and media companies all grounded to a halt this morning. crowdstrike says a major outage is impacting systems globally. microsoft suffering blackouts. you see the show is different today. nbc universal, our parent company, impacted. we will bring you the latest developments in the story that is impacting millions of people and an untold number of companies globally. microsoft and crowdstrike tell us they are working to restore

their systems at this hour, but there is no clear timeline and no clear sense of what the fix will be. of course, it's friday, july 19th, 2024. a lot going on. the show will look a bit different. you are watching "worldwide exchange." i want to bring in my colleagues from overseas karen tso and arjun kharpal. thank you for joining us. you have been doing a great job for hours on the story. karen, how this is impacting companies here in the u.s. and globally. >> frank, thank you very much for that. i've got to say as a broadcaster, we struggled to get going this morning logging on and getting a rundown and getting to playing tape and auto queue has been a challenge. at least we have been going to air. the outage impacting companies across the world. nbc confirmed an update issued by cybersecurity firm crowdstrike has caused this outage and the company is in the process of rolling back that

update according to using reports on down detecter. it includes microsoft, visa and a number of airlines and telecommunications groups social media firms and g-mail and banking as well. microsoft has addressed the mitigation exchange within the azure system. the uk government weighed in and saying this is not a cybersecurity incident. we had an impact on the airlines, berlin in particular, halted all flights. check-in service is working. very much workshoping the problems. budapest with problems.

hong kong is working on check-ins. arjun, it depends on what service you had and how much you lent into digitalization. it impacted how the companies are resilient today. >> the notice able able are resilient today. >> the notice able impact is th windows laptop, you may see the blue screen of death, the blue error screen, with the update from crowdstrike. there is more than the i.t. issue overnight. we had microsoft say azure, cloud services, had issues that may have beena impacted with microsoft teams, et cetera. those were resolved in the early hours of friday morning and a few hours later, this crowdstrike update issue has come to pass. it's unclear if the two were linked at this point. that's a very important distinction to make. the issues we are seeing with crowdstrike right now are

directly impacting some of microsoft's services as well as the windows program and if you look at down detector, industries across the board from financial services to airlines. >> the bank of england spokesperson saying there is no impact on the bank systems from the global tech outage, frank. >> karen, i want to go back to you. you have been watching the outages on the exchange over there. charlotte and others looking at the possible impact to the exchanges. is there any sense beyond the banks that the bourses are impacted with the stocks and euro net, et cetera? >> indeed. frank, lseg reported issues and we saw that this morning waiting for earnings news. it did not hit the wires on time. it was delayed. in terms of the market open, we saw the initial exchanges and indices did not tick over in the timely fashion. it has been glitchy.

others across the block to deutsche bank have been weighing in. euro net has been fine. it is scattered defending on what system you are running off. the banks, too, some banks with problems. >> some of the banks with problems and the network processing as well. it is very scattered at anthe moment who is able to get back online. >> we use the same web site down det detector. issues with a number of u.s. banks. i don't want to name them yet. i want to get confirmation from them. arjun, we spent time talking about cybersecurity while i was there. let's lean in more on crowdstrike. a very big cybersecurity player. i spoke to the chief security officer of aemazon. they use crowdstrike. talk about what is going on. the update to the crowdstrike falcon sensor.

i have been falling a following your great reporting and the domino effect here. >> crowdstrike is an integral part of many businesses cybersecurity operations. that's why this is a global issue because of how big crowdstrike is because it is embedded in so many systems across the world. they provide this end-point security system. if you have a laptop or a phone, that may be perhaps running this crowdstrike cybersecurity software on it. when there is an issue with end-point software like that and when there is a bug in the update like crowdstrike has been trying to rollout, that is going to directly impact those devices that you were using. that's why, for example, if you look at perhaps a window-based laptop like we have been using this morning, you see the blue error screen that's come to pass as a direct result of what's been happening in the back end for crowdstrike. what they've got to do now is

effectively rollback this upgrade which could take a few hours to do. this is not an easy process, especially on the global scale as well. it needs organizations to be able to be connected to first, if they haven't taken their systems offline to be connected and initiate the rollback and start to get the systems back online. it is unclear how long it will take to do. it will vary business by business. that is the process that needs to happen before businesses restore normality. >> we will talk about the systems getting back to normal a short time later in the show with the cio of cyber arc walk through what is happening. karen and arjun, thank you very much. thank you for your great reporting. we want to move on to phil lebeau looking at the issues with flights not only over in europe where you are, phil, but in the u.s. as well. a number of issues reported.

what's the latest? >> reporter: the ground stop remains in effect for delta, united and american and we're starting to see long lines build at the airports on the east coast because people are showing up and they are wonder if the ground stop will be lifted and if they are able to leave. there is no indication when that would happen. i talked with american and united and their engineers are working with others to pinpoint what happened and say we have communications and we have everything in place for ticketing, screening, get everybody on the plan so we're comfortable from the security standpoint that this flight should leave whenever that scheduled time is for a flight to take off. it's unclear if this ground stop is going to last, i don't know, another half hour or hour? who knows how long? we are not getting any indication it is going to be lifted soon and as a result,

this is how things will play out this morning at airports first on the east coast and then, obviously, the midwest, and further west. people will be showing up and waiting and wondering when they will be able to get to their plane and the plane actually takeoff. that's the latest as of right now regarding the u.s. airlines. >> phil, i think both of us have taken a lot of early flights. at this hour, there can be long lines for the flights. a lot of people show up at the last minute, i'm sure surprised, with what they are seeing. as we look at the domino effect with the ground stop an hour or two in the early part of the day on the east coast, but much earlier over there in europe. what is the payment account thro impact throughout the day? can they make up for the lost time where they can't get people through security? how long, potentially, can this domino create delays? >> reporter: it builds and it

builds very quickly. you have a bulk of flights starting at 5:00, 5:30 a.m. on the east coast. if the beyond stop gets lifted, you can work that out, the airline industry can, over time through the day. if you are going several hours and flights canceled and as we checked on flight aware, 127 delays and 19 cancellations. that number will sky rocket as long as the ground stop is in effect. as long as it goes, it is more of a ripple effect and it is across the country. we are seeing long lines here in europe. ryanair is out telling people ho show up at airport three hours then and then there is no guarantee the flight will be leaving when scheduled or delayed, whenever it might be. we will see it build up quickly, frank. >> yeah.

>> when it comes to days of travel for the uk. school holiday and people are just hopping on flights to the united states as well. con contextualize how busy it will be? >> reporter: it's a busy time. a very busy time. 5:00 a.m. i've been in a number of airports on the east coast. that's when you see the big crowds begin and the wave of flights about to gibegin. with this ground stop in effect, you will see a real domino effect quickly in terms of cancellations. in the united states, it works its way west. we are already seeing that here in europe. >> phil, to sum it up, ground stop on a number of airlines. you are seeing reports from united, delta, allegient. phil lebeau on the ground. phil, i'm getting a report from

dubai. the airport is back online there. a very large airport in the middle east. are you hearing any other reports of airports coming back online right now? >> reporter: not officially. i have talked with some airlines who are optimistic that they're close, but they're not to the point where they have said to the faa let's lift the ground stop. >> so many people going to the airports. phil lebeau, thank you so much for being live. we will talk to you throughout the hour as needed. you are watching "worldwide exchange," and you can see we are having difficulties. we will bring you very latest on developments and the efforts to fix these probmshrght e ow.e touou please stay with us on "worldwide exchange." we'll be back right after this break.

welcome back to "worldwide exchange." right now we are following a global tech issue related to crowdstrike way number of companies impacted and flights grounded and web sites not working right now. we are bringing you the latest with that, but we want to talk about the markets. futures are in the red across the board right now. the dow would open up more than 100 points lower. s&p is down fractionally. the nasdaq is down. the dow fell yesterday more than 500 points falling more than 1.25%. the nasdaq falling just

about .75%. we continue to see a tech slide and rotation in the markets. i want to go to karen tso to see what is going on in the european markets and the ecb decision yesterday to keep the rates unchanged. karen, what are you seeing? >> frank, i'll make a bold call here and not seeing a huge market reaction to the global outage. if you look at the european markets, we are in the red, but it is modestly downbeat. this is the european market on the back foot most of the week. the rotation in global stocks, the so-called trump trade stateside, has filtered across to the international markets as well. there is risk in french politics even if the uk is looking like a bastion here. markets were in the red most of the trading week with the u.s. markets showing resilience for the week. the selling yesterday did not

help. you see this morning down .25% on the ftse 100. we have trading sick gnals. it was disrupted. a little bit more selling on the dax. this constitutes the fifth negative session in a row. you see the theme is not about the outage today. smi is down. the ftse mib and ibex. it is on top of the technology issue. what we are seeing around the ecb as you mentioned the monetary policy which has been in the mix as well. the ecb yesterday as planned not delivering a follow-up rate cut. a lot of the governing council were reluctant to commit. september seems to be the next dynamic with that, frank. we turn to breaking news and phil lebeau with one major airline. phil, what's the latest? >> reporter: frank, american airlines has lifted the ground stop in place. again, american airlines has

lifted the ground stop in place. american flights scheduled will start to see them take off on the east coast and working its way west. the sky west flights for american airlines, the regional airline operator, the largest regional airline operator, that ground stop has also been lifted. there is, however, ground stops for some smaller regional airlines that operate american flights in various markets around the united states, the ground stop is still in effect. those are smaller planes and segments of those flying american in the united states. american airlines lifting the ground stop for its main line and sky west regional flights. we'll start to see those flights takeoff now it is lifted. frank. >> a small segment of all people traveling by air today.

we are getting the latest from dan murphy from the dubai airport. dubai you international airport is opening normally. that latest coming from dan murphy. phil, thank you very much. we will check back in with you throughout the hour. >> reporter: yup. we want to lean in to the crowdstrike outage and the microsoft outage that we believe is unrelated, but still impacting companies. i want to go to omer grossman from cyber technologies. can you hear me? >> yeah, i can hear you great. >> you are with scyber arc. gif give us a sense with the outage with crowdstrike, what are we seeing here and i know you are not related to it, but in your mind, what is the process to unwind this large outage? >> first of all, i think we'll

see it as one of the biggest disruption this year. >> omer, we are having problems with your line. stay on the line. i don't know if you can move to a better mobile phone area, possibly. all right. i believe we lost him. we will try to get him back on the phone. we will go back to london. arjun, i want to go back to you. talk more about the cybersecurity issue and the update that needs to be rolled back. are you hearing anything from crowdstrike or other cybersecurity systems to get this process back running and back online? >> at this point, what we know is it is a process that takes a long time. i want to go back to an incident, frank, that happened in january with microsoft. a separate incident where the company rolled out an update regarding azure and cloud. then they had to roll it back

because there was an error with it. that took several hours to restore processes back online. it did eventually happen. as i mentioned, this was a process that would take several hours and not something uniform across different companies. others would be first to get systems back online as well. it will take some time to do. it is not an easy process and it is something that would require a lot of work on the side of crowdstrike and the organizations involved. still no timeline or indication of when that may be completed at this stage. >> i would just weigh in here. if it is not the company itself impacted, but what you are seeing in financial market terms with counter party risk. if you are okay and you partner with someone, may not be okay. i'll give you an example. easyjet has not been affected by microsoft systems, however, because there have problems with the airport systems, that is the

problem. why is this stretching across so many sectors and industries across the globe? a lot of counter parties involved here because we are so interconnected here, frank. >> what a great point, frank. i want to update our audience. global outage is impacting planes and media and here in the u.s. and globally and in europe. we had phil lebeau reporting that one airline, american airlines, is able to send up some of the planes. dan murphy reporting that dubai international airport is back up and running. a number of other airports with a issues. karen, we want to look at the markets right now in the u.s. and europe, both in the red. we turn to u.s. futures. we told the ouaudience that the dow would open 100 points lower. the s&p is down fractionally. we have seen a slide in the market. the s&p and nasdaq coming off

two negative sessions in a row. both of them closing down in the red yesterday .75%. we have seen tech under pressure this morning. this morning, microsoft with the issue of its own 2%. that is a company with that large market cap weighing on the markets and futures as well. we will continue to look at the potential market impact of this right now. one thing we want to point out is crowdstrike shares are down almost 20% right now. other stocks are moving higher. arjun, crowdstrike shares down just about 20%. we want to lean more into the market impacted with everything going on. callie cox is joining us right now on the phone. callie, can you hear me? >> hi, yes. good morning. >> good morning. obviously, a very unexpected interview right now. we thought we would look at the markets right now. what we are seeing with the global i.t. outage, is that a

factor for futures being in the red? >> i think so. look, i'm speaking on behalf of long-term investors here. this event is obviously a big one. if you are not a microsoft or crowdstrike investor, you are probably thinking how does this affect me? microsoft is the second biggest stock in the s&p 500. it can have a massive impact on the market. you have to see on the technology that we build stock markets on these days, there are an the lot of questions that long-term investors need to answer. >> i think we are seeing that in the pre-market right now. callie, a lot of people are looking for a pull back in the market. we have seen volatility. does an incident like this have the potential of a domino effect with flights and everything, but does this have the potential of

the domino effect of shaking investor confidence? >> i'm not sure it will be big for markets. it may be a one-day blip we have to step over. we have seen lots of tech outages over the years and my hope is microsoft and crowdstrike can figure out a solution today given all of the snarls it has thrown into global operations. you know, it may be a rough day in markets because of all of the impact of these tech issues, but i would not expect it to throw too much of a kink into the stock market because the stock market follows the economy over time and, you know, we might be due for a pullback soon just because markets have been quiet for so long. if we do see a pullback, i expect it to be .10% healthy pullback which would be refreshing for markets. >> push back around this because

what we are seeing is one-way trade with the positives with a.i. and today this is another wake-up call about too much reliance of putting too much information in the cloud to be crunched by a.i. does it put further question marks and stampede in all names that are artificial inte intelligence? >> i agree with that. the push back there is the broadening of markets. we have seen different sectors. we have seen real estate do well and utilities do well. we have seen days where the s&p has declined, but a lot of stocks have been rising and that's been a thing. i think yesterday was true. i expect that broadening to provide a foundation to the stock market and we could see a rough day or two around these tech issues especially if you are a microsoft or crowdstrike investor. i believe there is not strength and support from other stocks to

buoy this market. >> futures in the red in europe. we do have breaking news coming from the federal aviation administration here in the u.s. they say several airlines requested faa assistance with ground stops for fleets until the issue is resolved. the faa saying several airlines requesting assistance with the ground stop for the technical issue affecting all issues around the system. dan murphy announces dubai international is back up and running. we will continue to watch this story throughout the hour. karen and arjun and il wphill be with us. stay with us. more "worldwide exchange" coming up after this break. (runner) stay with me now! (teens) oooo!

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it is just about 5:30 on the east coast. you are watching "worldwide exchange." you see things are looking different this morning. the global outage from crowdstrike. microsoft telling us we are related azure issues with customers. they are working with those experiencing disruption. also aware of of windows issues with the update from crowdstrike. microsoft anticipating a resolution will come soon. a lot of questions when that resolution will happen. right now, also looking at the

moves right now on microsoft. microsoft shares down 2.75%. crowdstrike is deeply impacted with shares down 21%. we are following a global i.t. out outage related to an update on crowdstrike which impacts airlines and broadcasters and others as well. we have omar from cyber ark. i hope you can hear me now. we had technical difficulties earlier. okay. we unfortunately lost him again. we will go back to karen and arjun live in the london newsroom. one more move actually. we will go to dan murphy live right now. dan, can you hear me? good morning. >> reporter: frank, i can hear you. good morning to you. we have been tracking the reaction in the middle east. i wanted to begin with what we are seeing right now with regards to the impact on aviation.

of course, the middle east is a major global aviation hub. as we have been reporting in the last few minutes, dubai i international is operating normally after the check-in process for some airlines in terminal 1 and terminal 2. they switched to alternate systems to allow normal check-in operations to operate swiftly. frank, i spoke with a representative from emirates. this is one of the world's largest long-haul international carriers. they have told me this is what they say is an evolving situation. the airline is aware and monitoring the impact across its global network. however, it did not have much more to add beyond that. i've also been able to get a statement from turkish airways operating in the region. another significant global aviation player.

due to the global technical issue in the systems, we have a problem with ticketing and check-in and processing systems. this is something phil lebeau has been reporting throughout the morning. turkish airways saying they are working diligently to update the system. this is one of the world's busiest airports with 23 million passengers passing through that airport in q1, frank. this could have a widespread impact across the nation. >> thank you for that update. encouraging sign as we continue to see ground stops in the united states. the faa telling us several airlines have asked for assistance. we'll go to phil lebeau. phil, are you hearing anything else from airlines or airports able to reopen or resume part of

their service? >> reporter: just from american. american lifting the ground stop for the main line flights in the united states as well as internationally and for sky west operating american airline flights. sky west, regional operator, operates from smaller airports. both have lifted the ground stops. that is the only official lifting. we have been in touch with united airlines. they continue to work on this issue. they are not yet to the point where they can say, yes, let's lift the ground stop. flight aware with 127 delays and 19 cancellations. that number is going to sky rocket at least on the delays until we get some kind of resolution regarding the ground stops that are in effect right now for delta as well as united airlines. you heard from the faa within the last ten minutes saying it

has heard from a number of airlines requesting assistance as they try to work on the i.t. issues. that's where we are right now, frank. this means what you will see at many airports, long lines. 5:00 a.m. is when it picks up at airports on the east coast of the united states. given this situation and given the fact that people are waking up and going, i can't check-in online. therefore, what's going on? you will see long lines especially on the east coast of the united states. similar to what we've seen over here in europe. ryanair is telling passengers show up three hours early because of the issues with i.t. and software. so, frank, that's latest here. as long as we hears lifting the stops they requested from the faa, we'll let you know. >> as you were talking, we are looking at the flight aware track map. somebody right in front of the

camera right now. you see a number of people there with their bags. you can almost feel the frust frustration. you see people in new delhi right now and people whitie wai long lines. we have been in a situation where you have been delayed. i have one quick question for you. i'm not sure if we have clarity on this. if and when these flight systems get back up online, is anything prioritized? international flights or domestic flights prioritized? >> reporter: they try to work through the schedule as quickly as possible. they don't say this flight is more important, so this goes first. if they have the clearance and they are ready to go, they will go. that's usually the number one determining factor for which flight goes versus which flight doesn't go. often, it is because you don't have the crew in place or the paper work ready for you don't

have whatever the case may be ready to operate. that's how it works, frank. it's not a case of picking and choosing that we think this is a more important flight than this one. >> phil, thank you very much. we are looking at newark airport here. we have a camera on the scene. we have cameras going to the other new york airport as. it looks like hundreds of people in our view here at the newark-liberty airport right now. a lot of frustration right now and people getting on flights. karen, i want to go back over to you. i know you have been following the issues with the media out amg outages as well. >> we experienced it this morning. we are a key service. when something is happening, you want to know how the implications hit you. as you leave the house, frankly, as sky news, our sister channel, have had disruption. they had to apologize for

disruption to transmission. they are now broadcasting again. we have seen how global this story is, frank. all major net wworks in austral with problems getting to air. that is putting video content on air and building rundowns to getting the live breaking news that you can trust. there has been a genuine issue for a lot of broadcasters. a quick update. i want to get to phil on this. there was an update on swiss air. it is scattered, the impact, as i have been closely monitoring heathrow. it feels an lot of flights are taking off. gatwick has had problems. this is sky guide. sky guide is not accepting any further incoming flights. this does not affect flights already in the air. for those traveling today, phil, how do they feel? what confidence can they have

that they will arrive safely at their destination? >> reporter: they will not take off unless they believe it's safe. everything revolves around safety. if a flight takes off, you can feel confident you will get to your destination safely. the question becomes when do the airports and airlines feel comfortable enough in terms of ticketing and pacb baggage chec boarding to get everybody on the plane they're supposed to be on. that comes down to the inner connected systems not only in the united states, but around world. to answer your question, karen, if you are at the airport and we're going to board and ready to go, you can have confidence you will takeoff safely and everything will happen in a smooth manner in terms of the

flights. but the process of getting to your flight and getting through security at the airport is the frustrating part of the day for millions of travelers. karen and frank, back to you. >> phil, thank you for that reporting. karen and arjun, we will see you later in the show. phil as well. we are following a global outage from crowdstrike. apparently, millions of people impacted and the stock impacted on crowdstrike. down 15% off the lows of earlier today. microsoft also seeing a number of outages and having its own issues. those shares down 2.5%. we had callie cox on a short time ago. these outages, they believes are weighing on futures. we saw the dow earlier looking to open 100 points lower. s&p and nasdaq down as well. still, the dow at the same level. we will continue to follow this story throughout the morning. stay wh itus on "worldwide exchange." we'll be back right after this break.

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welcome back to "worldwide exchange." we are following a global i.t. o o outage with the youupdate from crowdstrike. a number of companies impacted as well. one area impacted is the financial industry right now. according to bloomberg, some jpmorgan chase employees saying they cannot log into their computers right now.

this morning, we are making calls to see how that is impacting the bank or the branches. chase is a big bank in the united states with 5,000 branches in the u.s. karen, i hopewant to come back to you. you are following financial news as well. >> thank you, frank. the lseg spokesperson has issued a statement saying we are currently experiencing a third-party technical issue which is impacting our services. there is no impact to securities trading on the london stock exchange. with the fact that trading is okay is welcome. it has been a massive week on markets. we did see at the start the signals on the exchange were not ticking open. there was an issue there. in terms of the companies we spoken to, ubs, no comment.

a allianc, with the windows log in. in terms of visa, they have also said and this is a spokesperson saying there is no indication in the ability to process payments from this issue. they are operating normally. they are aware of reports that people are unable to make payments and working with the financial institution clients to understand the impact on services to card holders and merchants. there is something playing out with card services. bnp and card systems are not impacted. we reached out to barclays and nationwide and standard charter. we are waiting for comment. unx. they are not aware of the current microsoft outage. it is not impacting trading an across the venues. metro bank, the smaller bank in the uk, having problems with phone lines and payment services

due to the outage. >> in the red across the board with the exception of barclays. karen, great reporting all morning long. i want to lean into the others. you mentioned issues with the cards. we call it the subway here, but you call it the tube there. you use your card. we see the domino effects in other industries and other ways of life. in europe, especially, i believe you are more contact-less than we are here. how will this impact hpeople throughout the day? >> absolutely. we have gone cashless as a society. covid accelerating those trends. people don't carry cash anymore. i'm not talking young people and millennials, but people across different areas. there is not a lot of staffing in the facilities if you talk about transport railways.

there is not someone to help you out ieither. the tube system is working as usual. that is not necessarily an issue. if you go to use the service and they are experiencing merchant card holder issues, then the ability to transact gets disrupted. arjun and i have been talking about having some resilience here. what we are seeing is a wake-up moment with technology and something we have been talking about a lot. >> karen, i agree with you so much. during my time in london, i realize how many supermarkets are self-checkout and use your card and you walk out with like an amazon go store. such an important part of shopping there in europe and london. thank you. arjun, we are hearing from microsoft this morning about the outage and also how it is impacting the azure service. >> that's right. seeing issues with azure service

at the moment across various parts whether that is teams and other apps. we have been made aware of an issue impacting virtual machines with windows servers with the crowdstrike falcon agent which is a bug check or colloqual terms of the blue screen of death and get stuck in a restarting state. they are recommending users to restore a backup from before the issues took place as well. they are saying we can confirm the affected update has been pulled back by crowdstrike. customers that are continuing to experience issues should reach out to crowdstrike for additional assistance. also, frank, literally within the past few seconds, the ceo of crowdstrike, george kurtz, on x, saying the company is working with customers impacted by a

defect found in a single content update for windows hosts. mac and linex hosts are not impacted. this is not a security incident or cyber attack. the issue has been identified, isolated and a fix has been deployed. he adds, we refer customers to the support portal for the latest updates and will continue to provide complete and continuous updates on our web sites. george kurtz says we ensure representatives through the official channels and he says their team is mobilized to ensure the security and stability of crowdstrike customers. back to you, frank. >> arjun, thank you very much. we are getting news dan murphy. he just sent it to me. he said emirates airline ways i aware of the disruption, but their flights are not disrupted right now.

we are looking at airports disrupted. we had ground halts. two airlines in the middle east say they are able to operate and takeoff right now. looking at the flight tracker map here. the yellow ones are flights disrupted right now. reminder, we are following a global i.t. update. crowdstrike with the outage. arjun says the ceo reporting they are deemploying a fix. stay with us. we'll be right back.

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welcome back to "worldwide exchange." following breaking news this morning. following a global i.t. outage related to crowdstrike. a number of media companies and we are hearing from the crowdstrike ceo via x. crowdstrike is actively working with customers impacted with a single content update for windows hosts and mac and linux customers are not impacted. the issue has been identified and isolated and a fix has been deployed. we ask customers go to the support portal to provide complete updates on the web site. he is continuing to communicate with crowdstrike customers. crowdstrike shares down 18.5%. microsoft down 2%. let's show you what is going on

in airports around the world right now. take a look. we have cameras in east coast airports. this is the new delhi airport. dozens of people in the shot looking at their phones and waiting for flights with their bags. we will show you the berlin airport as well. a lot of people trying to figure out what to do next. a ground stop at a number of airports around the world. we will look at the east coast airport at newark airport. you see the massive amount of people waiting. it looks like hundreds of people in this shot. in the new york area, laguardia airport here. people lining up at kiosks trying to figure out the next steps. a ground stop at so many airports around the world. american airlines lifts its ground stop. phil lebeau reporting a number of american airlines flights are

able to takeoff. a developing situation. a global i.t. situation right now caused by an update from crowdstrike. karen and arjun, i want to come back over to you. what is the latest you are seeing related to the situation? we are seeing some encouraging signs, but a number of systems relating and critical to so many lives right now. >> absolutely. when it comes to the different airports, that is where the problem has been. heathrow seems to be okay. some airlines are impacted because of the destinations. to the united states with the delays to miami flight. in terms of gatwick, there are problems there this morning. just to contextualize, school holidays. a string of schools not on school holiday and now there. it is the busiest days of the year and consumers want to travel. we see that with the financial services with the banks

reporting payments problems and the ability to transact is hugely important here. we are mostly a cashless society. a lot of businesses don't take cash anymore. if they have a problem with the merchant, this is a problem doing business today. in terms of what it means more broadly for the markets, i want to get into this. i think we are all closely watching crowdstrike. arjun, so many events and this is a stock that has run up so aggressively with the other a.i. stocks. up 117% over the past year. we are setting up for reputational damage today and stock on the down side. it puts attention to the tech companies and google parent company alphabet looking to buy wiz. this is a must have now. >> investors looking at the other names in the sector. you have seen those rise as crowdstrike gets hammered. it will be interesting to see the postmortem and how much damage to crowdstrike.

are businesses across the globe looking for alternative? and will that mean other stocks are a winner? frank. >> you mentioned arjun, the ceo announcing they are working on a fix. thank you for your reporting and insight in the european markets and in europe. thank you to phil lebeau. before we go, we want to take a look at futures. in the red in the u.s. similar to what we are seeing in europe. the dow would open up 100 points lower. s&p down fractionally. that will do it for us following the global i.t. outage. we will toss it over to "squawk box" for the very latest. in... my network and my tech need to keep up. thank you, verizon business. (kevin) now our businesses get fast and reliable internet from the same network that powers our phones. (woman) all with the security features we need. (aaron) because my businesses are my life. (kevin) man, the fish tacos are blowing up!

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good morning. welcome to what could be a very unusual edition of "squawk box" this morning. millions of people waking up to a massive, massive computer outage, including us. security firm crowdstrike and flights grounded and call centers affected and live tv broadcasts were knocked offline. we are going to be a little bit without some graphics and charts that you normally see and we'll bring you updates as we get them