In August 2001, Microsoft faced an uncomfortable situation that money U.S. manufacturing companies have experienced with recalled, defective products. Microsoft executives stood by at a news conference while a U.S. government official announced to reporters that was a serious flaw in a Microsoft product. The director of the FBT’s National Infrastructure Protection Center was warning reporters that Code Red worm, which was spreading through the Internet for the third time in as many weeks, was a serious threat to the continued operation of the Internet.