Delta Air Lines has initiated a lawsuit against cybersecurity firm CrowdStrike, alleging that a technology outage caused by a faulty software update led to the cancellation of thousands of flights in July. The airline claims the incident resulted in over $500 million in losses and is seeking compensation and punitive damages.
Key Takeaways
Delta Air Lines is suing CrowdStrike for a technology outage.
The outage resulted in approximately 7,000 flight cancellations.
Delta claims losses exceeding $500 million due to the incident.
CrowdStrike disputes Delta's claims, citing misinformation.
The U.S. Department of Transportation is investigating Delta's recovery time.
Background of the Incident
In July, Delta experienced a significant operational disruption that began with a faulty update sent to millions of Microsoft computers. This update, according to Delta, was not adequately tested by CrowdStrike before its global rollout, leading to a cascade of failures that crippled the airline's operations for several days.
The outage occurred during the peak summer travel season, resulting in the cancellation of about 7,000 flights. This disruption not only affected Delta but also had repercussions for banks, hospitals, and other businesses that rely on the same technology infrastructure.
Delta's Claims
In its lawsuit filed in Fulton County Superior Court in Georgia, Delta asserts that CrowdStrike's negligence in testing the software update directly caused the widespread outage. The airline is seeking both compensation for its losses and punitive damages, arguing that CrowdStrike's actions amounted to cutting corners and circumventing essential testing protocols.
Delta's legal team stated, "CrowdStrike caused a global catastrophe because it cut corners, took shortcuts, and circumvented the very testing and certification processes it advertised, for its own benefit and profit."
CrowdStrike's Response
CrowdStrike has responded to the allegations by claiming that Delta is misrepresenting the situation. A spokesperson for the company stated that Delta's claims are based on misinformation and reflect a lack of understanding of modern cybersecurity practices. They also pointed out that other airlines managed to recover from the outage much more quickly than Delta, suggesting that the airline's outdated IT infrastructure may have contributed to its prolonged recovery time.
One of CrowdStrike's lawyers previously indicated that the company's liability to Delta was less than $10 million, a stark contrast to the airline's claims of over $500 million in losses.
Investigation by the U.S. Department of Transportation
In light of the incident, the U.S. Department of Transportation has launched an investigation into Delta's recovery process. Transportation Secretary Pete Buttigieg has stated that the department will also look into customer service complaints during the outage, including reports of long wait times for assistance and unaccompanied minors being stranded at airports.
The legal battle between Delta Air Lines and CrowdStrike highlights the complexities and challenges of cybersecurity in the aviation industry. As both parties prepare for a potentially lengthy legal process, the outcome may have significant implications for how technology updates are managed and tested in the future, as well as for the accountability of cybersecurity firms in the event of operational failures.
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Sources
Delta sues cybersecurity firm CrowdStrike over tech outage that canceled flights, Yahoo Finance.
Delta sues cybersecurity firm CrowdStrike over tech outage that canceled flights | National | caledonianrecord.com, Caledonian Record.
Delta sues cybersecurity firm CrowdStrike over tech outage that canceled flights - WNKY News 40 Television, WNKY.
Delta sues cybersecurity firm CrowdStrike over tech outage that canceled flights | Business | bozemandailychronicle.com, Bozeman Daily Chronicle.
Delta sues cybersecurity firm CrowdStrike over tech outage that canceled flights, MSN.