Delta Air Lines faces investigation over technology outage response

In recent statements, Delta Air Lines CEO Ed Bastian indicated that the airline industry has felt hampered by regulations imposed by the Biden administration. This sentiment was echoed by other airline executives, including Southwest Airlines CEO Robert Jordan, who expressed hope for a less aggressive regulatory stance under the incoming Trump administration. Bastian noted the administration's focus on reforming federal regulations that were perceived as excessive. Moreover, Delta is currently embroiled in a federal investigation concerning its management of a significant technology outage that occurred in July, which has prompted scrutiny regarding its treatment of affected passengers and adherence to consumer-protection laws. Delta recently reported a profit of $2.6 billion for the first nine months of 2024, despite facing challenges related to regulatory compliance and ongoing litigation regarding transparency rules for passenger fees. The airline, along with others in the industry, has pushed back against certain regulations which they argue confuse consumers and hinder operational efficiency. As the situation develops, the outcome of both the investigation into Delta's recovery efforts and its legal battles over regulatory compliance could significantly impact the company's financial standing and public perception.