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05.08.2024 21:38:11

CrowdStrike Denies Sole Responsibility For Delta's Flight Disruptions

(RTTNews) - CrowdStrike Holdings, Inc. (CRWD) has reportedly denied the sole responsibility for the flight disruptions that impacted Delta Air Lines, Inc. (DAL), following criticism from Delta's CEO regarding computer issues that reportedly cost the airline $500 million.

According to Reuters, in a letter from CrowdStrike's legal team to Delta's legal team, the firm expressed disappointment at Delta's implications and strongly refuted any claims of negligence or misconduct. CrowdStrike CEO George Kurtz reportedly offered on-site assistance to Delta CEO Ed Bastian but received no response. Delta later stated that it did not need help during the extended service outage, leading CrowdStrike to assert that its liability is limited as assistance was offered but declined.

A CrowdStrike spokesperson told The Register: "The letter speaks for itself. We have expressed our regret and apologies to all of our customers for this incident and the disruption that resulted. Public posturing about potentially bringing a meritless lawsuit against CrowdStrike as a long-time partner is not constructive to any party. We hope that Delta will agree to work cooperatively to find a resolution."

The letter was directed to prominent attorney David Boies, who CNN reported was retained by Delta to seek compensation from both CrowdStrike and Microsoft, as a software update disrupted the Windows operating system on Delta's computers. CrowdStrike emphasized that it would respond aggressively if forced to do so to protect its shareholders, employees, and other stakeholders.

Additionally, Delta is under investigation by the U.S. Department of Transportation over the six-day recovery period following the outage, longer than other major airlines. The July 19 incident impacted millions of Windows computers using CrowdStrike, resulting in numerous delayed flights, disrupted government operations, delayed deliveries, and impacted hospital functions globally. A Bloomberg report indicates that only $1.5 billion of the estimated $5.4 billion in damages incurred by Fortune 500 companies from the incident will be covered by insurance.

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CrowdStrike 356,20 3,80% CrowdStrike
Delta Air Lines Inc. 60,47 -0,33% Delta Air Lines Inc.