Alaska Airlines Resumes Operations After Nationwide IT Outage
On Thursday, October 23, 2025, Alaska Airlines experienced a significant information technology (IT) outage that led to a temporary nationwide grounding of all its flights, including those operated by its subsidiary, Horizon Air. The disruption began around 3:30 p.m. Pacific Time and lasted nearly three hours, affecting both current and upcoming flights.
Extent of the Disruption
The IT outage impacted several key systems essential for flight operations, online booking, and the airline’s mobile app. As a result, 229 flights were canceled, and additional delays were anticipated as the airline worked to reposition aircraft and crews. Passengers were advised to check their flight status before heading to the airport to avoid further inconvenience.
Cause and Response
Alaska Airlines identified the cause of the outage as a failure at its primary data center. The airline emphasized that the incident was not related to any cybersecurity events or other external factors. Efforts were immediately undertaken to resolve the issue and restore normal operations. By late Thursday evening, the airline announced that it was actively working towards restoring its operations following the outage.
Historical Context
This incident marks the second significant IT-related grounding for Alaska Airlines in recent months. In July 2025, the airline experienced a similar outage due to the failure of a critical piece of hardware at a data center, leading to a system-wide ground stop that lasted approximately three hours. These recurring technology issues highlight the challenges airlines face in maintaining complex IT infrastructures essential for daily operations.
Financial Implications
In addition to operational disruptions, Alaska Air Group has revised its 2025 profit forecast downward due to rising fuel costs and operational challenges, including adverse weather and infrastructure issues. The airline now anticipates an annual adjusted profit of at least $2.40 per share, a decrease from the earlier estimate of over $3.25. For the fourth quarter, it projects earnings of at least 40 cents per share, significantly below analysts’ expectations of 88 cents.
Despite these setbacks, Alaska Air reported a 23% year-over-year increase in third-quarter operating revenue to $3.77 billion, slightly above forecasts. The airline is implementing strategies to improve profitability, such as limiting seat supply and reducing discounting to boost unit revenues, which are expected to turn positive in the fourth quarter.
As of Friday, October 24, 2025, Alaska Air Group Inc. (ALK) shares are trading at $44.18, reflecting a decrease of $2.45 (-5.25%) from the previous close. The intraday high reached $46.81, with a low of $43.64. The latest trade was recorded at 1:41 p.m. UTC.
Alaska Airlines continues to work diligently to assist affected travelers and restore full operational capacity, emphasizing its commitment to safety and customer service amidst these challenges.
