NEW YORK, Wednesday, July 31, 2024- Delta Air Lines is considering legal action against CrowdStrike and Microsoft following a massive technology outage earlier this month that grounded thousands of flights and caused widespread disruption across multiple industries, reports said.
The airline has hired prominent attorney David Boies to explore potential damages claims after suffering hundreds of millions of dollars in losses due to the July 19 incident, Fox Business reported.
A faulty CrowdStrike software update is believed to have triggered the widespread system failures, impacting sectors including transportation, healthcare, and finance on July 19.
Delta says that its operations were severely impacted, with over 2,200 flights canceled on July 19 alone. The airline says it is still processing over 176,000 refund and reimbursement requests.
The outage has also sparked broader concerns about the reliability of critical infrastructure and the potential consequences of widespread technology failures.
While both CrowdStrike and Microsoft have acknowledged the incident and initiated investigations, Delta’s decision to pursue legal action underscores the severity of the disruption and the potential financial implications for businesses reliant on these tech giants.
CrowdStrike’s stock price has fallen significantly since the outage, reflecting investor concerns about the company’s ability to maintain system reliability.
Reports said that Delta’s legal action could set a precedent for future cases involving technology failures and their impact on critical infrastructure.
