
A cyber attack on CDK Global suspended many car dealership operations across the U.S on Wednesday. CDK, a cloud-based, retail technology and software provider for auto dealers, briefly shut down all its systems around 2 a.m. eastern, according to Reuters, “out of an abundance of caution" for customers. CDK said that after conducting tests, some of its core dealer management system and digital retailing solutions were back online after the hack. CDK’s website says it works with more than 15,000 dealerships in the U.S, including General Motors and Group 1 auto dealers.
The system's wide attack followed a similar attack last week against the Findlay Automotive Group. The attack restricted Findlay's ability to conduct sales and service. An online survey published by CDK Research last year found cyberthreats are a priority for dealers. The survey found 17% of 175 dealers had experienced a cyberattack or incident in 2023. Among dealers that had experienced a cyber attack, 47% said they had a negative financial/operational impact on their business, up 15% from previous years. The top three impacts on dealership’s operations were, employee downtime (69%), need to replace or purchase hardware or software (46%), and damaged reputation (31%).