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Car Dealerships Revert  to Pens And Paper After Cyberattacks On Software Provider

POSTED ON June 24, 2024 •   Technology      BY Abiodun Saheed Omodara
Vehicles sit in a row outside a dealership, June 2, 2024, in Lone Tree, Colo. Car dealerships across North America have faced a major disruption this week. CDK Global, a company that provides software for thousands of auto dealers in the U.S. and Canada, was hit by back-to-back cyberattacks on Wednesday, June 19, 2024. Credit: David Zalubowski l Source: AP Photo

Car dealerships in North America are currently dealing with significant disruptions following cyberattacks on a widely used software company in the auto retail sales sector. 

CDK Global, a major provider of software for thousands of auto dealers in the US and Canada, was targeted by consecutive cyberattacks last Wednesday, resulting in ongoing operational issues.

This has led to delays and manual vehicle orders at dealerships, with CDK estimating that it will take "several days" to fully restore their systems. Group 1 Automotive Inc., a $4 billion automotive retailer, has resorted to using alternative processes to continue selling cars to its customers.

CDK Global, based near Chicago, provides software technology to assist dealers with various aspects of their operations, such as vehicle sales, financing, insurance, and repairs.

The company serves over 15,000 retail locations across North America. Following the cyberattacks, CDK shut down all systems as a precaution and has initiated an investigation with third-party experts and law enforcement.

They have also cautioned their customers about potential fraudulent individuals posing as CDK affiliates.

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