this post was submitted on 31 Jul 2024
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  • Delta Air Lines CEO Ed Bastian said the massive IT outage earlier this month that stranded thousands of customers will cost it $500 million.
  • The airline canceled more than 4,000 flights in the wake of the outage, which was caused by a botched CrowdStrike software update and took thousands of Microsoft systems around the world offline.
  • Bastian, speaking from Paris, told CNBC’s “Squawk Box” on Wednesday that the carrier would seek damages from the disruptions, adding, “We have no choice.”
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[–] partial_accumen@lemmy.world 3 points 2 years ago (15 children)

As far as the companies go, their lack of resources is an entirely self-inflicted problem, because they’re won’t invest in increasing those resources, like more IT infrastructure and staff.

Play that out to its logical conclusion.

  • Our example airline suddenly doubles or triples its IT budget.
  • The increased costs don't actually increase profit it merely increases resiliency
  • Other airlines don't do this.
  • Our example airline has to increase ticket prices or fees to cover the increased IT spending.
  • Other airlines don't do this.
  • Customers start predominantly flying the other airlines with their cheaper fares.
  • Our example airline goes out of business, or gets acquired by one of the other airlines

The end result is all operating airlines are back to the prior stance.

[–] brianary@startrek.website 6 points 2 years ago (7 children)

Two big assumptions here.

First, multiple business systems are already being supported, and the OS only incidentally. Assuming double or triple IT costs is very unlikely, but feel free to post evidence to the contrary.

Second, a tight coupling between costs and prices. Anyone that's been paying attention to gouging and shrinkflation of the past few years of record profits, or the doomsaying virtually anywhere the minimum wage has increased and businesses haven't been annihilated, would know this is nonsense.

[–] partial_accumen@lemmy.world 1 points 2 years ago (6 children)

First, multiple business systems are already being supported, and the OS only incidentally. Assuming double or triple IT costs is very unlikely, but feel free to post evidence to the contrary.

The suggestion the poster made was that ALL 3rd party services need to have an additional counterpart for redundancy. So we're not just talking about a second AV vendor. We have to duplicate ALL 3rd party services running on or supporting critical workloads to meet what that poster is suggesting.

  • inventory agents
  • OS patching
  • security vulnerability scanning
  • file and DB level backup
  • monitoring and alerting
  • remote access management
  • PAM management
  • secrets management
  • config managment

....the list goes on.

Anyone that’s been paying attention to gouging and shrinkflation of the past few years of record profits, or the doomsaying virtually anywhere the minimum wage has increased and businesses haven’t been annihilated, would know this is nonsense.

You're suggesting the companies simply take less profits? Those company's board of directors will get annihilated by shareholders. The board would be voted out with their IT improvement plans, and replace with those that would return to profitability.

[–] brianary@startrek.website 2 points 2 years ago (1 children)

And yes, taking less profits to distinguish your product as a prestige brand is fairly common.

[–] partial_accumen@lemmy.world 1 points 2 years ago

And yes, taking less profits to distinguish your product as a prestige brand is fairly common.

In luxury goods, absolutely. In commodity goods, not so much. The airlines that had the nationwide disruptions are most certainly commodity.

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