Business

Delta faces $500 million in costs due to global technology disruption

Share on facebook
Share on twitter
Share on linkedin
Share on pinterest
Share on telegram
Share on email
Share on reddit
Share on whatsapp
Share on telegram


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

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

See more information: Why Delta is under investigation

A week ago, CrowdStrike blamed a bug in an update that allowed its cybersecurity systems to send bad data to millions of customer computers, triggering the global technology outage that grounded flights, took TV broadcasts offline and disrupted banks, hospitals and retailers.

Cybersecurity firm CrowdStrike also outlined the steps it will take to prevent the issue 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 it plans.

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

See more information: CrowdStrike’s Role in Microsoft’s IT Disruption, Explained

The U.S. Department of Transportation is investigating why Delta was unable 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 seek compensation for the outages. CrowdStrike has not made any offers to help Delta financially so far, he added. Offered free consultation.



This story originally appeared on Time.com read the full story

Support fearless, independent journalism

We are not owned by a billionaire or shareholders – our readers support us. Donate any amount over $2. BNC Global Media Group is a global news organization that delivers fearless investigative journalism to discerning readers like you! Help us to continue publishing daily.

Support us just once

We accept support of any size, at any time – you name it for $2 or more.

Related

More

1 2 3 9,595

Don't Miss