CrowdStrike and Delta clash over responsibility for mass flight cancellations

Cybersecurity firm CrowdStrike and Delta Air Lines are in disagreement over the responsibility for damages incurred by Delta following a global technology outage. Delta’s CEO has threatened to sue CrowdStrike for $500 million in lost revenue and additional expenses from numerous flight cancellations. In response, CrowdStrike’s lawyer claims that the company’s liability should be much lower, estimated at less than $10 million.

In a letter addressed to Delta’s lawyer, CrowdStrike’s attorney, Michael Carlinsky, argued against the narrative that CrowdStrike is at fault for Delta’s IT decisions and response to the outage. He questioned why other airlines were able to recover from the incident more swiftly, emphasizing that CrowdStrike took accountability for its actions while Delta did not appear to do so.

The technology disruption stemmed from a faulty software update by CrowdStrike affecting over 8 million computers running Microsoft Windows, impacting various sectors including airlines, banks, and retailers on July 19th. Delta’s CEO, Ed Bastian, highlighted the airline’s higher reliance on Microsoft Windows compared to other carriers, prompting considerations of legal action. Bastian indicated that CrowdStrike did not extend substantial assistance beyond offering consulting advice, a claim disputed by CrowdStrike who stated that their CEO had reached out to offer support but received no reply.

The U.S. Department of Transportation has initiated an investigation into the incident, particularly focusing on Delta’s extended recovery period in contrast to other airlines. Transportation Secretary Pete Buttigieg announced plans to address complaints regarding Delta’s customer service, which included prolonged wait times for assistance and reports of unaccompanied minors stranded at airports.