In the wake of a significant cyberattack, car dealerships nationwide are reverting to traditional paper forms as the auto industry scrambles to recover. The attack targeted CDK Global Systems, a cloud-based software essential for managing car sales, financing, repairs, and maintenance. CDK Global serves around 15,000 dealerships across the United States. Major automakers like Ford and Kia confirmed to Reuters that their operations were impacted.
The cyberattack, which began early Wednesday morning, hit CDK’s interfaces with a series of back-to-back assaults, causing dealerships to shut down operations. The group responsible for the attack, believed to be based in Eastern Europe, demanded a ransom of tens of millions of dollars. According to Bloomberg, CDK was reportedly willing to negotiate to end the disruption.
“In the interim, we are continuing to actively engage with our customers and provide them with alternate ways to conduct business,” CDK told Reuters. The company is also conducting an internal investigation and cooperating with authorities to restore full service.
By Monday afternoon, restoration efforts were underway, though CDK estimated it would take days, not weeks, to fully recover. However, the company did not specify how many customers remained affected as of Monday.
This incident underscores the vulnerabilities within the auto industry’s reliance on cloud-based systems and the importance of cybersecurity measures to protect critical business operations.
Stay updated with The Grey Journal for the latest on this developing story.
