The EternalBlue vulnerability is a remote kernel exploit that targets the SMB service in Windows operating systems prior to Windows 8. The vulnerability allows an anonymous connection via a null session, which can be used to send commands and execute code on the system. Microsoft issued a security update (MS17-010) to address the vulnerability before the WannaCry ransomware attack, which exploited EternalBlue. The mitigation involves disabling SMBv1, blocking incoming SMB traffic, discovering and isolating vulnerable systems, and applying the Microsoft patch.