Microsoft ‘deeply sorry’ for global disruption that could have billion-dollar impact on Australia
Microsoft has apologized for an 18-hour global technical outage that disrupted operations worldwide, with experts warning the economic toll in Australia alone could reach billions of dollars. Microsoft attributed the incident to server configuration issues affecting Microsoft 365, confirming it was not caused by cyberattacks or AI agents. The incident highlighted systemic risks stemming from reliance on foreign technology. Prins Ralston, chief executive of the Australian Computer Society, called for an urgent federal review into single-provider IT dependencies after citizens were left unable to access government services, send invoices, or receive wages.
The fallout impacted numerous public and commercial sectors. In Australia, domestic intelligence agency Asio saw partial disruption, while Australian Medical Association president Dr Michael Bonning noted clinics reverted to paper prescriptions after login systems failed. Overseas, UK police forces urged the public to call in crimes, and Japanese firms Sagawa Express and Taisho faced online booking and ordering halts. Risk adviser Ashwin Pal of RSM Australia warned the outage could break vulnerable small businesses, while Microsoft shares dipped 1.1% to $516.86 on Wall Street.
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