American Airlines Faces Tech Issues Causing Widespread Flight Delays

On June 27, 2025, American Airlines experienced a technology issue that disrupted connectivity across some of its systems, leading to significant flight delays. As of 3:40 p.m. Eastern Time, approximately 26% of American Airlines' flights and 30% of its regional subsidiary PSA Airlines' flights were delayed. The airline confirmed that no flights had been canceled and stated it was actively collaborating with partners to resolve the problem.

This incident is the latest in a series of technical disruptions for American Airlines. On December 24, 2024, a technical issue with the Flight Operating System resulted in a brief nationwide grounding of flights. In July 2022, a scheduling system glitch allowed pilots to drop 12,000 flight assignments, causing operational challenges.

Despite these operational challenges, American Airlines reported a net loss of $473 million in the first quarter of 2025. However, the company's stock has shown resilience, with a 27% increase over the past month. As of 3:01 p.m. Eastern Time on June 27, 2025, American Airlines Group Inc. (AAL) stock was trading at $11.29, up $0.16 (1.44%) from the previous close.

Industry experts have noted that many airlines rely on outdated reservation systems built on 1960s technology, which require complete overhauls to prevent future issues. These aging systems can lead to operational disruptions, affecting customer satisfaction and trust.

The recurrence of technical issues at American Airlines highlights the need for robust IT systems in the airline industry to ensure operational efficiency and maintain customer trust. As the airline works to resolve the current problem, the broader industry faces the challenge of modernizing aging technology to prevent future disruptions.