City
Epaper

Delta CEO reveals IT outage costs $500 million

By IANS | Updated: August 1, 2024 11:45 IST

San Francisco, Aug 1 Delta Air Lines CEO Ed Bastian said the massive IT outage, earlier this month, ...

Open in App

San Francisco, Aug 1 Delta Air Lines CEO Ed Bastian said the massive IT outage, earlier this month, cost the company $500 million.

He said the figure included not just lost revenue but "the tens of millions of dollars per day in compensation and hotels" in five days, Xinhua news agency reported.

The airline cancelled over 5,000 flights amid the outage through July 25, which was sparked by a botched CrowdStrike software update and took thousands of Microsoft systems around the world offline.

The meltdown was rare for Delta. Its slower recovery from the outage than other airlines prompted an investigation by the US Department of Transportation.

After the outage, Delta's platforms that match flight crews to planes couldn't keep up with the changes, leading to further disruptions, according to the company.

Bastian told CNBC on Wednesday that the carrier would seek damages from the disruptions, adding, "We have no choice."

CrowdStrike has so far made no offers to help Delta financially, Bastian said.

A CrowdStrike spokesperson said in a statement that the company had "no knowledge of a lawsuit and had no further comment." Microsoft didn't immediately respond to a request for comment, CNBC reported.

"We have to protect our shareholders. We have to protect our customers, our employees, for the damage, not just to the cost of it, but to the brand, the reputational damage," Bastian was quoted as saying in the report.

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

Open in App

Related Stories

InternationalPakistan: PIA flight operations disrupted as standoff with engineers drags on

Other SportsFrom Kadapa to Women’s ODI World Cup glory: The N Sree Charani Story

Entertainment'Tripurantak' film announced, more details inside

Other SportsSix Indians in field in Singapore as Asian Tour golfers prepare to compete for additional LIV golf league spots

AurangabadThree robbers arrested after chase; two manage to flee

Technology Realted Stories

TechnologyPM Modi congratulates Amul and IFFCO for securing top global rankings for cooperatives

TechnologyPiyush Goyal optimistic about creating more ‘successful Kiwi–Bharat stories’

TechnologyDelhivery slips into losses despite posting 17 pc revenue rise in Q2 FY26

TechnologyMahindra’s commercial EV manufacturer surpasses 3 lakh sales milestone

TechnologyScience, R&D, advanced materials key pillars for Viksit Bharat 2047: CSIR