CrowdStrike Beats Investor Suit Over Massive Software Outage (1)

CrowdStrike Holdings Inc. and its top leaders defeated allegations they misled investors before a glitch in its Falcon cybersecurity software platform caused shutdowns globally in the summer of 2024.

The proposed class action complaint failed to sufficiently allege the executives had a motive to mislead investors or were severely reckless in not knowing their statements were false or misleading to support securities fraud claims, Judge Robert Pitman said, dismissing the suit in an order entered Tuesday.

The allegation CEO George Kurtz and President Michael Sentonas created a culture at the cybersecurity company of prioritizing speed to maximize profits didn’t support ...