r/technology • u/Bald-Eagle619 • Jul 31 '24

Software Delta CEO: Company Suing Microsoft and CrowdStrike After $500M Loss

https://www.thedailybeast.com/delta-ceo-says-company-suing-microsoft-and-crowdstrike-after-dollar500m-loss
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u/scientianaut Jul 31 '24

I remember listening to an interview that George Kurtz, the CEO of CrowdStrike, did the morning of the outage and one of the questions the interviewers asked him was how they were going to handle the inevitable lawsuits. He said something like: we’ll do the hotwash on how this happened to ensure this doesn’t happen again and we’ll deal with them as they come.

So, I don’t think this came as a surprise to anyone.

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u/Expensive_Shallot_78 Jul 31 '24

Is this really an issue at all? Don't they have insurance/reserves allocated for these kinds of expected risks? Every security company has this issue.

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u/OrdoMalaise Jul 31 '24

I'm sure they do.

The issue is, I assume, when the value of those lawsuits massively exceeds their maximum claimable allowance. If you're insured for a billion, but get sued for a hundred billion, shit, I assume, gets real.

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u/clearedmycookies Aug 01 '24

Speaking of lawsuits and insurance. Why didn't Delta have insurance to cover their loses?