Delta Air Lines reportedly will seek compensation from CrowdStrike and Microsoft for the recent global IT outage that disrupted flights worldwide. CrowdStrike stock sold off Tuesday, while Microsoft edged lower.
Delta Air has hired the law firm of Boies Schiller Flexner as a step toward obtaining compensation from the software giants, CNBC reported Monday night. The airline has cancelled more than 6,000 flights since the July 19 global IT outage, likely costing Delta hundreds of millions of dollars.
A CrowdStrike program update early on July 19 triggered major IT outages worldwide, but only affecting Microsoft Windows devices.
Delta Air could be the first of many companies and organizations seeking financial redress from CrowdStrike and perhaps Microsoft.
CrowdStrike Stock Falls
CRWD stock plunged 9.7% Tuesday. Shares rose 1% to 258.81 in Monday. On July 19, CrowdStrike plunged 11.1%, followed by a 13.5% dive the following session.
Microsoft stock edged down 0.9%, as investors see the tech giant see as less exposed to the outage fallout, or perhaps so large that it will have little impact. Shares edged up 0.3% to 426.73 on Monday after skidding below the 50-day line and a prior 430.82 buy point.
Microsoft earnings are due Tuesday night.
Delta stock rose 0.1% to 43.23, just holding above the 200-day line.
Please follow Ed Carson on Threads at @edcarson1971 and X/Twitter at @IBD_ECarson for stock market updates and more.
