| Recurring |
one_organization |
(a) The software failure incident related to the Facebook IPO glitch at Nasdaq OMX Group was a significant event that resulted in delays and losses for investors. This incident was specific to Nasdaq and its handling of the Facebook IPO, indicating a failure within the organization's systems and processes [17912].
(b) There is no specific mention in the provided article about similar incidents happening at other organizations or with their products and services. Therefore, there is no evidence to suggest that this particular software failure incident had occurred elsewhere. |
| Phase (Design/Operation) |
design, operation |
(a) The software failure incident related to the design phase can be seen in the article where Nasdaq experienced glitches that delayed the debut of Facebook shares by half an hour. Traders complained about not being able to confirm changes or cancellations made to Facebook orders, indicating issues with the system development or updates [17912].
(b) The software failure incident related to the operation phase is evident in the complaints from traders who did not receive confirmation from Nasdaq that transactions had been completed. This points to issues with the operation or misuse of the system [17912]. |
| Boundary (Internal/External) |
within_system |
(a) The software failure incident related to the Facebook IPO on Nasdaq can be categorized as within_system. The glitch that delayed the debut of Facebook shares and caused issues with confirming changes or cancellations to orders originated from within Nasdaq's system itself, leading to losses for traders and the need for Nasdaq to compensate them [17912]. |
| Nature (Human/Non-human) |
non-human_actions, human_actions |
(a) The software failure incident in this case was primarily due to non-human actions, specifically glitches in Nasdaq's systems that delayed the debut of Facebook shares and caused issues with order confirmations and transaction completions. Traders complained about not being able to confirm changes or cancellations to orders, and some did not receive confirmation from Nasdaq about completed transactions [17912].
(b) Human actions also played a role in this incident as angry traders demanded compensation for their losses incurred as a result of the glitch. Nasdaq had to come up with a plan to distribute funds to brokerages that lost money due to the glitches, indicating a response to human demands and actions [17912]. |
| Dimension (Hardware/Software) |
hardware, software |
(a) The software failure incident related to hardware:
- The article mentions that Nasdaq glitches delayed the debut of Facebook shares by half an hour, indicating a hardware-related issue [17912].
(b) The software failure incident related to software:
- The article highlights that traders complained about not being able to confirm changes or cancellations made to Facebook orders, and some did not receive confirmation that transactions had been completed, pointing towards a software-related issue [17912]. |
| Objective (Malicious/Non-malicious) |
non-malicious |
(a) The software failure incident related to the Facebook IPO on Nasdaq was non-malicious. The incident was attributed to glitches in Nasdaq's systems that delayed the debut of Facebook shares and caused issues with order confirmations and transaction completions. Traders incurred significant losses due to these technical problems, leading to demands for compensation from Nasdaq. The Securities and Exchange Commission approved Nasdaq's plan to distribute $62 million in cash to investors affected by the glitch, indicating a resolution aimed at restitution rather than punitive action [17912]. |
| Intent (Poor/Accidental Decisions) |
poor_decisions, accidental_decisions |
(a) The software failure incident related to the Facebook IPO on Nasdaq can be attributed to poor decisions made by Nasdaq OMX Group. The glitch that delayed the debut of Facebook shares by half an hour led to significant losses for traders, estimated at around $500 million. Nasdaq initially planned to offer $40 million in compensation to financial firms affected by the glitch, but later increased the amount to $62 million in cash payouts after facing pressure from angry traders demanding compensation for their losses. Despite the approval of the payout plan by the SEC, Nasdaq may still face lawsuits or further regulatory action [17912].
(b) The software failure incident can also be linked to accidental decisions or unintended consequences. Traders complained about not being able to confirm changes or cancellations made to Facebook orders early in the morning before the stock started trading. Additionally, some traders reported not receiving confirmation from Nasdaq that their transactions had been completed. These issues indicate unintended consequences of the software glitch that affected traders' ability to execute trades smoothly and led to financial losses [17912]. |
| Capability (Incompetence/Accidental) |
development_incompetence |
(a) The software failure incident related to development incompetence is evident in the article as it mentions Nasdaq glitches that delayed the Facebook IPO debut by half an hour. Traders complained about not being able to confirm changes or cancellations made to Facebook orders, and some did not receive confirmation that transactions had been completed. The technical problems cost traders about $500 million, indicating a significant impact of the glitch [17912].
(b) The accidental aspect of the software failure incident is also highlighted in the article as it describes how angry traders demanded compensation for losses incurred as a result of the glitch. Nasdaq's initial plan to offer $40 million was increased to $62 million in cash to provide appropriate restitution to customers, members, and market participants affected by the incident [17912]. |
| Duration |
temporary |
(a) The software failure incident related to the Nasdaq glitches during Facebook's IPO can be categorized as temporary. The glitch caused a delay in the debut of Facebook shares by half an hour, and traders complained about not being able to confirm changes or cancellations to orders, as well as not receiving confirmation of completed transactions. This temporary disruption led to significant financial losses for traders, estimated at around $500 million [17912]. |
| Behaviour |
crash, omission, value, other |
(a) crash: The software failure incident in this case can be categorized as a crash. The glitch in Nasdaq's system caused a delay in the debut of Facebook shares by half an hour, leading to complaints from investors who were unable to confirm changes or cancellations to orders. This resulted in losses estimated at around $500 million [17912].
(b) omission: The incident also involved omission as traders reported not receiving confirmation from Nasdaq that transactions had been completed. This omission of providing necessary feedback or confirmation to traders contributed to the chaos and demands for compensation [17912].
(c) timing: The timing of the software failure incident was crucial as it caused delays in the trading process. Investors complained about not being able to confirm changes or cancellations starting as early as 4:30 a.m. PT, and some did not receive confirmation until later in the morning. This timing issue affected the smooth functioning of the trading process [17912].
(d) value: The software failure incident also falls under the category of value-related failure. The glitch in Nasdaq's system led to incorrect performance, causing losses to traders estimated at around $500 million. The system's failure to execute transactions accurately resulted in financial harm to investors [17912].
(e) byzantine: There is no explicit mention of the software failure incident exhibiting byzantine behavior in the provided article.
(f) other: The other behavior exhibited by the software failure incident was the failure to provide timely and accurate feedback to traders regarding the status of their transactions. This lack of communication and transparency from Nasdaq's system contributed to the confusion and demands for compensation from affected parties [17912]. |