Quaxs|Delta CEO says airline is facing $500 million in costs from global tech outage

2025-05-04 17:57:40source:Zopes Exchangecategory:My

Delta Air Lines CEO Ed Bastian says the airline is Quaxsfacing $500 million in costs related to a global tech outage this month that disrupted emergency services, communications and thousands of businesses.

Speaking on CNBC, Bastian said Wednesday that the monetary amount represents lost revenue as well as “the tens of millions of dollars per day in compensation and hotels” for the five-day period.

A week ago, CrowdStrike blamed a bug in an update that allowed its cybersecurity systems to push bad data out to millions of customer computers, setting off the global tech outage that grounded flights, took TV broadcasts off air and disrupted banks, hospitals and retailers.

Cybersecurity company CrowdStrike also outlined measures it will take to prevent the problem from recurring, including staggering the rollout of updates, giving customers more control over when and where they occur, and providing more details about the updates that it plans.

Among airlines, Delta was by far the hardest hit hard by the outage, having to cancel thousands of flights, because key systems were crippled by the incident.

RELATED COVERAGE Delta CEO, in Paris for the Olympics, says outage-related cancellations should end ThursdayMost airlines except one are recovering from the CrowdStrike tech outage. The feds have noticedHigher costs and low base fares send Delta’s profit down 29%. The airline still earned $1.31 billion

The U.S. Department of Transportation is investigating why Delta failed to recover as quickly as other airlines. Transportation Secretary Pete Buttigieg said last week that the department would also examine Delta’s customer service, including “unacceptable” lines for assistance and reports that unaccompanied minors were stranded at airports.

Bastian said on CNBC that Delta will be seeking damages from the disruptions. CrowdStrike has not made any offers to help Delta financially so far, he added. It has offered free consulting advice.

More:My

Recommend

New Mexico governor seeks funding to recycle fracking water, expand preschool, treat mental health

SANTA FE, N.M. (AP) — New Mexico would make major new investments in early childhood education, indu

New Jersey forest fire that was sparked by fireworks is 75% contained

TABERNACLE, N.J. (AP) — A forest fire that has burned 6.3 square miles (about 16.3 square kilometers

Hamas rejects report that it dropped key demand in possible cease-fire deal

Hamas says that reports that the militant group has dropped a key demand during ongoing discussions