Retailers face cash-only chaos amid chaotic global IT outage

The modern conveniences of digital transactions and online shopping have become a staple in the lives of many Australians.

However, the recent global IT outage has served as a reminder of the vulnerabilities inherent in our increasingly interconnected and digital-dependent world.

In an event that has left consumers across the nation bewildered, major Australian retailers such as Coles and Woolworths found themselves in a technological gridlock.


The outage, which has had a domino effect on banks, airports, and various businesses, has forced a temporary regression to an almost forgotten era of cash-only transactions.

Shoppers, accustomed to the swift convenience of self-service checkouts and tap-and-go payments, were unexpectedly met with closed lanes and signs requesting cash payments.


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Global IT outage hits Australian supermarkets; some now accept only cash. Credit: @MoonbearAI / X


Social media platforms were abuzz with images and accounts of the chaos, with long queues snaking around stores as customers were directed towards the few operational traditional checkouts.

The disruption has affected in-store purchases and online orders, with Woolworths confirming the closure of six stores and the inability to fulfil some digital shopping lists.

Coles and Woolworths, two of the country's retail giants, have assured customers that their IT departments are working tirelessly to resolve the issue and promise updates as the situation develops.


The outage's ripple effect was felt beyond the supermarket aisles, with other businesses having to turn away customers due to inoperative computer systems.

One Coles customer in Adelaide voiced her frustration and concern, highlighting the broader implications of our shift towards cashless societies.

‘When this happens more and more, how are people going to buy food? How are people going to pay their bills?’ the shopper said.

‘It worries me, for my kids, for their future, our future (and) how it’s going to be (for) life-threatening events where you need to get internet access.’

The root of the problem has been traced back to a misstep by computer security company CrowdStrike and tech behemoth Microsoft.


In an attempt to keep systems secure and up-to-date, an overwhelming number of updates were released simultaneously, causing widespread system crashes.

CrowdStrike has since addressed the 'erroneous' update, advising that a reboot may be necessary for the resolution to apply.

‘As your devices receive this update you may need to reboot for the changes to take effect and for the blue screen (BSOD) issues to be resolved,’ a spokesperson stated.

Microsoft 365 has also acknowledged the disruption, assuring users that relief will be gradual as they work to 'mitigate' the fallout.


Meanwhile, the Australian Government, in conjunction with the National Cyber Security Coordinator, has been investigating the cause of the outage.

Initial findings suggested that this was not the result of a cyberattack, and they have confirmed that emergency services, including triple-0 calls, were not affected.

‘There is no information to suggest this is a cybersecurity incident, and they are continuing to engage across key stakeholders,’ a government spokesperson announced.

In similar news, Meta platforms, including Facebook, Instagram, Messenger, and Threads, experienced a widespread outage that affected thousands of users.

Users reported being logged out and encountering errors when reloading their feeds. Read more about this update here.
Key Takeaways
  • A global IT outage has impacted Australian supermarkets, causing some only to accept cash transactions.
  • Shoppers have faced closed self-service checkouts and long queues at traditional checkouts due to the tech issue.
  • Woolworths and Coles have been affected, with some stores closed and online orders disrupted.
  • The problem is linked to an erroneous update from computer security company CrowdStrike and Microsoft, and the government has indicated it is not a cyberattack.
How has the IT outage affected you? Do you have concerns about the move towards a cashless society? Join the conversation and let us know in the comments below.
 
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