U.S. carrier Alaska Airlines said Friday it had restored operations after a technology outage that grounded flights across the country and forced it to cancel more than 400 flights, disrupting travel for more than 49,000 passengers.
Alaska Air Group said it planned to take immediate actions to upgrade its IT systems after the failure at its primary data center, adding it did not yet have an estimate of the financial impact the disruption may have on its fourth-quarter results.
Shares of the airline closed down 6% in heavy volume on Friday.
&#8220;We&#8217;re working to get everyone to their destinations as quickly as we can,&#8221; it said, adding &#8220;this level of performance is not acceptable.&#8221;
An IT outage had also forced the airline to ground all its flights for about three hours in July, which trimmed roughly 10 cents from its third-quarter profit per share.
Alaska Air said that, following the disruption in July, it had taken action to improve its IT systems, &#8220;but this failure underscores the work that remains to be done to ensure system stability.&#8221;
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&#8220;(We are) immediately bringing in outside technical experts to diagnose our entire IT infrastructure to ensure we are as resilient as we need to be,&#8221; it added.
Alaska Airlines asked the Federal Aviation Administration on Thursday evening for a temporary ground stop, which also affected Horizon Air, a subsidiary.
The halt was lifted at 11:30 p.m. PDT (0630 GMT Friday), the airline said, adding that the disruption resulted from a system outage and not a cyber attack.
The carrier on Thursday forecast fourth-quarter profit well below analysts&#8217; expectations, owing to higher fuel costs and operational challenges.
It also postponed its earnings call, originally scheduled for October 24, following Thursday&#8217;s outage.
(Reporting by Kanishka Singh, Ismail Shakil, David Shepardson, Mrinmay Dey, Shivansh Tiwary and Abhinav Parmar; Additional reporting by Gnaneshwar Rajan; Editing by Jamie Freed, Christopher Cushing, Jane Merriman, Shinjini Ganguli and Edmund Klamann)

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Alaska Airlines Vows IT Upgrades After Major Outage Forced Over 400 Cancellations

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U.S. President Donald Trump will test his deal-making capabilities on a trip next week to Asia, a region battered by his hardball trade policies, while doubts hang over his highly anticipated meeting with China&#8217;s Xi Jinping.
Trump, who leaves Washington on Friday night, is set for a five-day trip spanning Malaysia, Japan and South Korea, his first to the region and his longest journey abroad since taking office in January.
The Republican leader hopes to pile up trade, critical mineral and ceasefire deals before turning to the toughest challenge, a face-to-face with Xi on Thursday in South Korea.
Trump is also working to maintain the signature foreign policy achievement of his second term, a ceasefire he helped to strike in the Israel-Gaza conflict, while the Russian war in Ukraine rages and a trade war with China shows little sign of ending.
Washington and Beijing have hiked tariffs on each other&#8217;s exports and threatened to cut off trade in critical minerals and technologies altogether.
The trip was formally announced by the White House on Thursday. Details remain in flux, including the meeting between leaders of the world&#8217;s two largest economies.
Neither side expects a breakthrough that would restore terms of trade that existed before Trump&#8217;s second-term inauguration in January, according to a person familiar with the conversations. Instead, talks between the two sides to prepare for the meeting focused on managing disagreements and modest improvements.
An interim agreement could include limited relief on tariffs, an extension of current rates, or China committing to buy U.S.-made soybeans and Boeing airplanes. Beijing reneged on similar promises in a 2020 deal with Trump.
Washington could let more high-end computer chips flow to Beijing, which in turn could loosen controls on rare earth magnets that have angered Trump.
On Wednesday, U.S. Treasury Secretary Scott Bessent said the Trump-Xi talk would be a &#8220;pull-aside,&#8221; suggesting nothing formal. Trump later told reporters the two would have &#8220;a pretty long meeting,&#8221; allowing them to &#8220;work out a lot of our questions and our doubts and our tremendous assets together.&#8221;
China has not confirmed a meeting is planned.
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Mira Rapp-Hooper, a visiting fellow at the Brookings Institution and former Biden administration official, said Trump&#8217;s Asia policy has been defined by intense pressure on countries&#8217; trade policies and defense spending.
&#8220;The high-level question on this trip is really, who does the United States stand with, and what does it stand for,&#8221; she said.
Trump is expected at the Association of Southeast Asian Nations summit, which starts Sunday in Kuala Lumpur, Malaysia.
There, he could oversee the signing of a ceasefire deal between Thailand and Cambodia. The deal would formalize an agreement that ended the worst fighting in years between the two countries in July, though it falls short of a comprehensive peace deal. During his second term in office, Trump has branded himself as a global peacemaker.
After that stop, Trump will head to Japan to meet Sanae Takaichi, the newly elected prime minister. Takaichi is expected to affirm plans by her predecessor to hike military spending and to make $550 billion in Trump-directed investments in the U.S.
Then, in Busan, South Korea, Trump plans to meet Xi ahead of an international trade summit. Trump is set to return to Washington before the Asia-Pacific Economic Cooperation leaders&#8217; forum gets under way, according to the schedule announced by the White House on Thursday.
Trump has threatened to raise tariffs on Chinese imports to a total of some 155% from November 1 if they cannot strike a deal. That would almost certainly provoke a reaction from Beijing and end a truce that paused tit-for-tat hikes.
Beyond trade, the two leaders are expected to discuss Taiwan, a long-running U.S.-China irritant, and Russia, a Chinese ally now subject to expanded U.S. sanctions over the war in Ukraine.
&#8220;There&#8217;s no intent from the U.S. side to discuss other issues,&#8221; aside from China&#8217;s trade, export controls and its purchases of Russian oil, according to a U.S. official, who said Trump would be prepared to reiterate previous responses if Xi raised other topics.
Trump is also trying to close trade deals with Malaysia and India, while shoring up a deal that has already been struck with South Korea.
U.S. and South Korean relations have been strained by Seoul&#8217;s concerns over the $350 billion investment in U.S. companies sought by Trump and deportations of the country&#8217;s foreign workers.
South Korean President Lee Jae Myung wants Trump to pursue peace with North Korea&#8217;s Kim Jong Un. U.S. officials considered, but never confirmed, a trip to the demilitarized zone (DMZ) separating the two Koreas, according to another person familiar with the discussions. Another U.S. official said on Friday that no Kim-Trump meeting was on the schedule for the trip.
(Reporting by Trevor Hunnicutt; Editing by Colleen Jenkins, Lincoln Feast and Edmund Klamann)

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Trump Aims To Clinch Deal With China’s Xi During Asia Trip

Amazon.com said on Monday that a cloud computing unit at its data center in northern Virginia had largely contained fallout from a widespread internet outage that caused global turmoil among thousands of sites, including some of the web&#8217;s most popular apps like Snapchat and Reddit.
Amazon said it had addressed the underlying issue and was close to a resolution, but some users were still complaining of lingering difficulties using services such as digital wallet Venmo and video calling site Zoom. The disruption knocked workers from London to Tokyo offline and halted others from conducting normal everyday tasks like paying hairdressers or changing their airline tickets.
It was the largest internet disruption since last year&#8217;s CrowdStrike malfunction hobbled technology systems in hospitals, banks and airports, highlighting the vulnerability of the world&#8217;s interconnected technologies. It was at least the third time in five years that AWS&#8217;s northern Virginia cluster, known as US-EAST-1, contributed to a major internet meltdown.
Amazon did not address a request for more clarity about why that particular data center keeps being impacted, instead pointing to an online statement that said the matter had been &#8220;fully mitigated.&#8221; The problems stemmed from what is known as the Domain Name System, or DNS, which prevented applications from finding the correct address for AWS&#8217;s DynamoDB API, a cloud database relied upon to store user information and other critical data.
After hours of disruptions, many applications were gradually coming back online in the afternoon in the U.S. But AWS acknowledged that elevated errors were still affecting several services.
There were &#8220;tons of broken internal services still now as individual resolution and repair occurring,&#8221; read language from an internal problem ticket describing the outage and reviewed by Reuters.
Lambda, one of AWS&#8217;s computing services, was experiencing errors due to issues with an internal subsystem, AWS had said earlier. &#8220;We are taking steps to recover this internal Lambda system,&#8221; it said.
Earlier, AWS said the root cause of the outage was an underlying subsystem that monitors the health of its network load balancers used to distribute traffic across several servers.
The issue, AWS said, originated from within the &#8220;EC2 internal network.&#8221;
EC2 refers to Amazon&#8217;s &#8220;Elastic Compute Cloud&#8221; service, which provides on-demand cloud capacity within AWS. Businesses use EC2 to run virtual servers to develop, launch and host applications.
AWS had said earlier in the day it was seeing signs of recovery for EC2 use at a few data centers.
It was taking similar measures at the remaining locations and expects the problems to subside, AWS added, without providing a specific timeline.
While some apps like Reddit and Roblox had largely stabilized, according to outage tracking website Downdetector, others, including Snapchat and Duolingo, were showing a resurgence in issues seen earlier in the day.
Ken Birman, a computer science professor at Cornell University, said software developers need to build better fault tolerance into their code. He said AWS provides tools developers can use to protect themselves in the event of a problem at one of any of its sprawling network of data centers, and developers can also create backups with other cloud providers.
&#8220;When people cut costs and cut corners to try to get an application up, and then forget that they skipped that last step and didn&#8217;t really protect against an outage, those companies are the ones who really ought to be scrutinized later,&#8221; Birman told Reuters.
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AWS provides computing power, data storage and other digital services to companies, governments and individuals and is the world&#8217;s largest cloud provider, followed by Microsoft&#8217;s Azure and Alphabet&#8217;s Google Cloud.
Disruptions to its servers can cause outages across websites and platforms &#8211; ranging from food delivery apps to gaming platforms and airline systems &#8211; that rely on its cloud infrastructure.
AWS said on its status page that Monday&#8217;s outage originated at its US-EAST-1 location in northern Virginia, its oldest and largest for web services. The site suffered outages in 2021 and 2020.
According to documentation on the AWS website, the US-EAST-1 site is often the default region for many AWS services.
The problem highlights how interconnected everyday digital services have become and their reliance on a small number of global cloud providers, with one glitch wreaking havoc on business and day-to-day life, experts and academics said.
&#8220;This outage once again highlights the dependency we have on relatively fragile infrastructures,&#8221; said Jake Moore, global cybersecurity advisor at European cybersecurity firm ESET.
In Britain, Lloyd Bank, Bank of Scotland, and telecom service providers Vodafone and BT were all hit, according to Downdetector&#8217;s UK website, as was UK tax, payments and customs authority HMRC&#8217;s website.
&#8220;The main reason for this issue is that all these big companies have relied on just one service,&#8221; said Nishanth Sastry, director of research at the University of Surrey&#8217;s Department of Computer Science.
Ookla, which owns Downdetector, said over 4 million users reported issues due to the incident.
&#8220;For major businesses, hours of cloud downtime translate to millions in lost productivity and revenue,&#8221; said Ryan Griffin, U.S. cyber practice leader at insurance broker McGill and Partners.
Wall Street was largely unfazed, sending Amazon shares 1.6% higher to $216.48.
Ookla said at least a thousand companies were affected by the outage.
Snapchat last had over 7,500 reports on Downdetector, lower than the peak of more than 22,000 but still higher than the 4,000 outage instances at around 7:00 a.m. ET.
Artificial intelligence startup Perplexity, cryptocurrency exchange Coinbase and trading app Robinhood all experienced platform disruptions and attributed them to AWS.
Amazon&#8217;s own services, including its shopping website, Prime Video and Alexa, were also hit, although Downdetector last showed a decrease in severity.
Fortnite, owned by Epic Games; Clash Royale and Clash of Clans were among the gaming platforms affected. Uber rival Lyft was also knocked down in the United States.
In a post on X, Signal President Meredith Whittaker confirmed the messaging app was hit by the outage as well, though billionaire Elon Musk, who owns X, said his platform continued to work.
(Reporting by Shubham Kalia, Devika Nair, Ananya Palyekar and Deborah Sophia in Bengaluru; Additional reporting by James Pearson, Jaspreet Singh and Arsheeya Bajwa; Editing by Saumyadeb Chakrabarty, Joe Bavier, Richard Chang and David Gregorio)

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Amazon Web Services Nears Recovery After Major Outage Disrupts Apps, Services Worldwide

Drone and artillery strikes by the paramilitary Rapid Support Forces on a shelter in the Sudanese city of Al Fashir killed at least 60 people on Friday night and Saturday morning, according to local activists.
Al-Fashir is under siege by the RSF as it struggles to wrest control of the army&#8217;s last stronghold in the Darfur region.
The siege has spread hunger and disease in the city and relentless drone and artillery strikes have hit displacement shelters, mosques, and hospitals and clinics.
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&#8220;Bodies remain under the rubble, and others were burned alive inside the shelter caravans, children, women, and elderly killed in cold blood, the al-Fashir Resistance Committees said in a statement earlier on Saturday. It said in a later statement that the shelter had been hit twice by drones and eight times by artillery shells.
The resistance committee said hundreds of civilians have been killed by the attacks, and residents who spoke to Reuters said they had dug bunkers into their homes and neighborhoods for protection.
The activist group said the city is losing 30 people on average daily to violence, hunger, and disease.
(Reporting by Nafisa EltahirEditing by Mark Potter and Toby Chopra)

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At Least 60 Killed After Paramilitary Group Strikes Sudanese Shelter

The U.S. Food and Drug Administration confirmed on Friday that toxic cough syrups linked to children&#8217;s deaths in India had not been shipped to the United States.
The World Health Organization has said India has a &#8220;regulatory gap&#8221; in screening locally sold syrup medicines.
The U.S. FDA said it was aware of news reports of devastating, ongoing diethylene glycol and ethylene glycol contamination in children&#8217;s cough and cold medicine in India.
Indian authorities advised the public to avoid two more brands of cough syrup on Wednesday following the deaths of 17 children under age five, linked to a toxic ingredient.
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The children died in India over the past month after consuming cough medicine containing toxic diethylene glycol in quantities nearly 500 times the permissible limit, officials said. The deaths were all linked to the Coldrif medicine brand, which was banned after a test confirmed the presence of the chemical on October 2.
India&#8217;s health authority, the Central Drugs Standard Control Organization, informed the U.S. regulator that these products were not exported from India to any other country, the FDA said.
The FDA also said it remains vigilant to prevent contaminated drugs from entering the U.S. and asked manufacturers to ensure that drugs marketed in the U.S. are safe and of the highest quality.
(Reporting by Sneha S K in Bengaluru; Editing by Pooja Desai)

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Cough Syrups Linked To Child Deaths Not Shipped To U.S., FDA Makes Clear

President Donald Trump unveiled a deal with U.K.-based drugmaker AstraZeneca on Friday under which the company will sell some medicines at a discount to the government&#8217;s Medicaid health plan in exchange for tariff relief, similar to a drug pricing pact reached last week with Pfizer.
The deals set a framework the White House will use to try to reach its goal of lowering U.S. prescription medicine prices. The president sent letters to 17 leading drugmakers in July telling them to slash prices. Pfizer and Astra are the first two companies to reach a deal with the administration.
AstraZeneca will also offer some of its drugs at up to 80% off their list price through the TrumpRx website planned for next year, CEO Pascal Soriot said at an event in the Oval Office.
He said the company will receive a three-year tariff exemption &#8220;to localize the remainder of our products.&#8221;
U.S. patients currently pay by far the most for prescription medicines, often nearly three times more than in other developed nations, and Trump has been pressuring drugmakers to lower their prices to what patients pay elsewhere or face stiff tariffs.
Last month, Trump threatened 100% tariffs, ratcheting up pressure on the pharmaceutical industry to agree to price cuts and shift manufacturing to the U.S., after negotiations broke down earlier this year, lobbyists and executives told Reuters following the Pfizer deal.
More than 70 million people are covered by Medicaid, the state and federal government program for low-income people. Drug spending in that program is dwarfed by that of Medicare, which covers people aged 65 and older or those with disabilities and is not included in Friday&#8217;s announcement.
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Medicare&#8217;s drug spending reached $216 billion in 2021, while Medicaid&#8217;s gross spending was around $80 billion.
The Medicaid program already receives the lowest drug prices in the U.S., so the additional savings may be modest, said Craig Garthwaite, a professor at Northwestern University&#8217;s Kellogg School of Management.
&#8220;If you look at AstraZeneca&#8217;s portfolio, I don&#8217;t think there are a bunch of drugs that exist where that&#8217;s going to involve them giving a very big discount to Medicaid,&#8221; Garthwaite said.
AstraZeneca&#8217;s Pfizer‑like deal may spare it tariffs, but will not move the needle on U.S. rising health insurance premiums and out‑of‑pocket drug costs, said Rena Conti, an associate professor at Boston University.
&#8220;It&#8217;s good for the companies, and has very uncertain if any benefit for Americans struggling with the affordability of prescription drugs,&#8221; Conti said.
Soriot has worked to keep his company close to Washington while pursuing its growth strategy.
AstraZeneca in July announced it will invest $50 billion in U.S. manufacturing and research and development by 2030. It will build its biggest site worldwide in Virginia, and expand facilities in five other U.S. states.
In September, the company announced it will sell its diabetes and asthma drugs direct to cash-paying U.S. patients at a discount of up to 70% off list prices, another move in response to Trump&#8217;s pressure campaign.
Soriot this year has played up the company&#8217;s U.S. credentials. He described the Anglo-Swedish firm as a &#8220;very American company,&#8221; highlighting its identity shift toward its largest market. AstraZeneca will list its shares in the United States as well as its current markets in the UK and Europe.
(Reporting by Steve Holland in Washington and Michael Erman in New Jersey; Additional reporting by Jarrett Renshaw and Ahmed Aboulenein in Washington, Maggie Fick in London, Patrick Wingrove in New York and Mariam E Sunny in Bengaluru; Editing by Caroline Humer and Bill Berkrot)

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Trump Announces U.S. Drug Pricing Deal With AstraZeneca

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Alaska Airlines Vows IT Upgrades After Major Outage Forced Over 400 Cancellations

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