CrowdStrike Holdings Inc. Chief Executive Officer George Kurtz co-wrote one book that is commonly referred to as the bible of computer security. When it comes to crisis management, however, he is on shakier ground.
In a after on social media platform X early Friday morning about a failed software update crashed Across numerous computer systems worldwide, Kurtz made it clear that the incident was not a cyberattack; his company had identified the problem and implemented a ‘solution’. What he didn’t say—at least initially—was the magic phrase that PR experts advise all companies to shout from the rooftops at times like these: “I’m sorry.”
Kurtz’s PR blunder, which he subsequently corrected on television appearance and follow-up explanations later that morning could have been the result of several things, crisis communications experts said. One possible reason is the rush to include many details about the company’s response in the first mission. A possible desire to avoid legal liability could also have been a factor.
Most likely, however, the lack of remorse stems from the IT sector’s long-standing struggle to interact with the general public in a more personal and less robotic way.
“A CEO needs a nuanced and emotionally truthful answer,” says Davia Temin, founder and CEO of crisis communications agency Temin & Co. “This is an answer that is being dropped by a legal team with litigation in mind. It requires little to no accountability, which is what makes an apology so powerful. And it positions Kurtz almost as an AI voice – automated, soulless. In fact, ChatGPT is better at giving the impression that he cares than he is.”
CrowdStrike did not immediately respond to a request for comment on the CEO’s initial statement.
Other PR consultants were more generous in their assessment of Kurtz’s handling of the situation, but all agreed that the lack of an apology was ill-advised to begin with. Shares of CrowdStrike fell more than 11% – the biggest drop since November 2022.
“The formula is always the same, no matter what happens – you start by saying there was a mistake and then apologizing for it,” says Paul Argenti, professor of business communications at Dartmouth’s Tuck School of Business. “That statement he came out with is the kind of statement you get from IT people all the time. They don’t think about the human side, they just want to get their job done.”
The early morning message “appears to be written for IT departments,” said Ron Culp, a former corporate public relations executive who now consults at DePaul University’s College of Communication. “It is essential to allay fears, resolve the issue and apologize. All three need to be done in the same communication.”
The bummer put a spotlight on the technology sector’s challenges in forging human connections, but it’s nothing new.
Sitcoms love Silicon valley and Great Britain The IT crowd have derided technology workers as arrogant and aloof. Industry leaders who were good at communicating with the general public, such as Apple’s Steve Jobs, honed those skills despite – or perhaps because of – a lack of technical gadgets.
When a crisis hits, those shortcomings are magnified, experts say. But they are not fatal. Most PR experts gave Kurtz a “B” for his overall response to date, noting that his subsequent statements were much improved. And he might not be done saying he’s sorry for a while yet.
“While I respect George’s instinct to be honest and apologize,” said Morningstar analyst Malik Khan, “the real apology will likely come when customers come calling.”
CEO Daily provides important context for the news leaders across the business world need to know. Every weekday morning, more than 125,000 readers rely on CEO Daily for insights about – and from inside – the C-suite. Subscribe now.
