Delta Air Lines filed legal claims against CrowdStrike and Microsoft after a global service outage last month caused mass Flight cancellations, disrupting the Travel plans of 1.3 million customers and costing it at least $500 million.
A software update last month by global cybersecurity firm CrowdStrike triggered system problems for Microsoft customers, including many airlines. The outages persisted at Delta even as they calmed down the next day at other major U.S. carriers.
The Atlanta-based airline canceled about 7,000 Flights in five days. It is also facing an investigation by the U.S. Department of Transportation over the disruptions.
“An operational disruption of this length and magnitude is unacceptable, and our customers and employees deserve better,” said Delta CEO, Ed Bastianin a filing with the SEC.
The days-long outages have sparked a blame game, with Bastian blaming both CrowdStrike and Microsoft for failing to provide exceptional service.
Both tech companies have rejected Delta’s claim that they are to blame for the Flight disruptions.
CrowdStrike said it would respond aggressively to protect its shareholders, employees and other stakeholders if Delta filed a lawsuit.
Microsoft also vowed to defend itself, saying its preliminary review suggested Delta, unlike its competitors, had apparently failed to modernize its IT infrastructure.
In a letter sent to CrowdStrike, David Boieswhich represents Delta, said the airline was surprised and disappointed by CrowdStrike’s decision to attempt a “blame the victim” defense.
“There is no basis, none, to suggest that Delta was in any way responsible for the faulty software that brought down systems around the world, including Delta’s own,” Boies wrote.
He added that Delta has invested billions of dollars in information technology and attributed the airline’s struggle to restore operations to its dependence on CrowdStrike and Microsoft.
Meanwhile, a CrowdStrike spokesperson said Delta was spreading a misleading narrative.
Delta said it expects a direct revenue impact of $380 million from the disruption in the current quarter due to refunds to customers for canceled Flights and compensation in cash and frequent flyer miles.
The company reported additional expenses of $170 million as a result of customer expense reimbursements and crew-related costs. However, it estimated that Flight cancellations will reduce its fuel bill by $50 million, Delta said.
Delta told U.S. lawmakers that the flawed CrowdStrike update “affected more than half of Delta’s computers, including many of Delta’s workstations across all of its airport networks.”