Delta Says CrowdStrike Outage Cost Airline $500 Million and Stranded Thousands of Customers

  • 2 months ago
Delta Air Lines CEO Ed Bastian said a massive IT outage earlier this month caused by software updates from CrowdStrike and Microsoft will cost Delta $500 million. The outage stranded thousands of customers and forced Delta to cancel over 4,000 flights. Microsoft took around five days to manually reset 40,000 servers impacted by the outage, while other airlines recovered faster. The disruptions are under investigation by the US Department of Transportation. Delta is seeking damages from CrowdStrike and Microsoft for financial losses and reputational damage to the brand. Delta has hired lawyer David Boies to pursue damages in the case.
Transcript
00:00It's Benzinga, and here's what's on the block.
00:02Delta Airlines CEO Ed Bastian set a massive IT outage earlier this month caused by a software
00:08update from CrowdStrike and Microsoft will cost Delta $500 million.
00:13The outage stranded thousands of customers and forced Delta to cancel over 4,000 flights.
00:18It took Microsoft around five days to manually reset 40,000 servers impacted by the outage
00:23while other airlines recovered faster.
00:25The disruptions are under investigation by the U.S. Department of Transportation.
00:29Delta is seeking damages from CrowdStrike and Microsoft for financial losses as well
00:33as reputational damage to the brand.
00:36Delta has hired lawyer David Boies to pursue damages in the case.
00:39For all things money, visit Benzinga.com.

Recommended