Counting the cost of CrowdStrike: the bug that bit billions

Operating costs and business losses will vary greatly from organization to organization, and segment to segment. Parametrix, using its sensors to monitor the service, estimates that healthcare suffers the most at $1.94 billion in direct losses from this incident, with banks and transportation close behind at $1.15 billion and $0.86 billion, respectively. It estimated the losses for each company in these three categories at $64.60 million, $71.8 million and $143.38 million, respectively.

Chris Steffen, vice president of research at Enterprise Management Associates, said the numbers could be much higher. “Parametrix says there was a direct loss of only 146 million in the airline industry,” he said. “However, many flights have been suspended for several days (Delta was finally repaired and operated on Wednesday this week). Even if you factor in monetary penalties related to delays and rebookings, not to mention brand reputation and other sunk costs, $146 million seems too low.”

Besides direct losses, additional hidden costs from this incident will likely include customer compensation for loss of service and fines for non-compliance, Brown added. Discussions about what those figures might look like are currently underway.


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