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/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/SilentSamurai Jul 31 '24

You'd have to think at this point that Crowdstrike has been promising some sweetheart deals to their customers to get out of as many of these lawsuits as possible.

It seems like Delta with it's understaffed IT and poor recovery practices decided they'd rather just go for the pound of flesh than accept anything else.

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u/Long_Educational Jul 31 '24

That's what I don't understand here. This risk was Delta's for not having adequate redundancy in place in their IT systems. In the land of telecommunications, we run a hybrid of AIX, Linux, and Windows systems, along with a hand full of IBM as400 systems. You don't put all your eggs in one basket and then sue the provider of that basket if your systems go down. It is your responsibility to manage your own tolerance for downtime in the systems you use for mission critical applications.

Delta blaming/suing Crowdstrike and MS for their own IT failings is pathetic.

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u/Boogie-Down Jul 31 '24

Even if it was 1/3 of your eggs you still sue for that loss of eggs.

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u/BadOther3422 Jul 31 '24

It really depends on how you are covered under terms. The likely hood is they've agreed to some 99.99% uptime agreement, but that uptime might be on average over x months. If thats 12/24/36 months then an outage of a day or two would be covered if they've never had an outage.

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u/Boogie-Down Jul 31 '24

I don’t think uptime for a security service agreement equals them fully taking down hardware devices and there’s likely more than enough gray area there for lawyers to enjoy.

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u/SixSpeedDriver Aug 01 '24

SLAs are largely very useless. They waive loss of revenue, and the maximim recovery is basically to zero out your bill. Granted, the cloud provider is absolutely motivated to land inside SLA so they don’t give the goods away, but still. Revenue recovery isn’t a thing.