CDK Software Cyberattack Causes Continued Car Dealership Outages

Money Bizwiz Team
2 Min Read

Cyberattack Causes Car Dealerships to Resort to Pen and Paper Forms

Last week, car dealerships across the country were hit by a cyberattack that forced them to revert to using paper forms as the auto industry struggled to recover. The attack targeted CDK Global Systems, a cloud-based software that handles all back-end financials and information related to car sales, financing, repairs, and maintenance for an estimated 15,000 dealerships nationwide.

Major automakers like Ford and Kia acknowledged that some operations were impacted by the cyberattack, causing disruptions in dealership operations. The interfaces were hit by back-to-back attacks, leading to the shutdown of operations as early as Wednesday at 2 a.m. EST.

The group responsible for the attack, believed to be based in Eastern Europe, demanded a significant ransom from CDK to stop the hack. CDK was reportedly considering paying the ransom to regain control of its systems before the weekend. Despite the challenges, the company is actively working to provide alternate ways for customers to conduct business while also cooperating with authorities to investigate the incident.

Although CDK has made progress in restoring its services, full recovery is expected to take a few days. The company did not provide a specific timeline for when dealerships can resume normal operations. As of Monday afternoon, some customers were still experiencing the effects of the cyberattack.

Stay updated on this developing situation as CDK Global Systems works towards fully restoring its services and ensuring a secure environment for car dealerships nationwide.

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