They are of course speaking of the Conficker Worm. And the claims?
Media HYPE and inaccuracies as usual.
(Conficker variant C, which has infected the least number of computers of all the Conficker variants, will start poling 500 out of a potential 50k domains for updates, instead of the 250 it is currently contacting.)
For a quick and easy FAQ, check out F-Secure’s Report.
For a great technical report on Conficker.C, check out SRI’s writeup.