WHAT HAPPENED: Everyone makes mistakes, but not every mistake causes Hotmail to take a dive. When Microsoft forgot to re-up their registration for “passport.com” in December 1999, Hotmail.com lost its ability to authenticate, locking out 20 million people from 55 million free e-mail accounts. This happened on Christmas Eve, robbing Santa of precious e-mail access to his elves, who all use Hotmail.

Luckily for Microsoft, a Linux user named Michael Chaney paid their bill in an effort to get Hotmail back up. He was eventually reimbursed by the software giant, presented with a $500 check, and some free software. He put the check on eBay, and the funds eventually found their way into the hands of the Sisters of the Road Cafe, an organization which helps the homeless and impoverished in Portland, OR.

SOURCE: DoubleWide
COST: $1,000,000 ($.05 average loss per e-mail address)
REPUTATION DAMAGE: High
OTHER FACTORS: Ruined Christmas.
TOTAL DAMAGE: 6/10

Next Page…

Pages: 1 2 3 4 5 6