How Startups Are Working to Prevent Another Major Outage Like CrowdStrike’s Through More Resilient Infrastructure Architectures

The massive technical disruption caused by a faulty CrowdStrike software update last week highlighted the potential consequences when a single point of failure impacts core systems underpinning international operations. In response, some venture investors are shining a light on startups working on dividing risk and enabling more resilient architectures, according to conversations with backers.

The global outage that resulted from CrowdStrike’s buggy driver update reminded observers how dependent the modern world has become on interconnected technological infrastructure. As Reid Christian of CRV notes, though not a cyberattack, the incident still stemmed from inadequate testing of changes to software wielding considerable control.

In response, CRV has supported Fleet, which monitors third-party applications to catch issues. While its specific solution may not have addressed the underlying kernel issue, Christian views ancillary oversight as prudent given the trust placed in core vendors. Fleet founder Zach Wasserman says the company’s outside-the-kernel approach preserves stability relative to solutions directly modifying the operating system.

Meanwhile, Wiz board member Gili Raanan stressed all security vendors facing renewed responsibility in light of the fallout. Lightspeed’s Guru Chahal also predicts rising interest in options like Wiz and Oligo Security avoiding direct kernel changes through sandboxing or runtime security, though acknowledging limitations for addressing this Windows problem.

Others see expanding roles for observability platforms ensuring compatibility across sprawling, API-connected infrastructures prone to cascading errors from any single upset. For instance, Fin Capital’s Logan Allin cites the potential value of tools from portfolio company Middleware in holding disparate moving pieces together.

Going forward, mitigating reliance on centralized authorities and enabling modular replacements or fail-safes aim to curb the potential for recurrence of crashes with consequences as widespread as last week’s downtime. Startups innovating on dividing risk and strengthening coordination across an increasingly complex landscape may attract additional VC interest as systems modernization needs come into sharper focus.

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