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Cyberattack on CDK Global disrupts operations at 15,000 US auto dealerships

Cyberattack on CDK Global disrupts operations at 15,000 US auto dealerships

CDK Global, a leading software-as-a-service (SaaS) provider for car dealerships and automotive equipment manufacturers, recently faced a cyberattack that disrupted the operations of its customers. The attack, which occurred on the night of June 18th, forced CDK to shut down its systems as a precautionary measure.

CDK Global’s platform is utilized by over 15,000 car dealerships across North America for managing various aspects of their business such as sales, customer relationships, financing, inventory, and customer support. The platform is accessed through locally installed applications, with round-the-clock availability ensured through a cloud-based SD-WAN and VPN solution.

In response to the cyberattack, CDK took immediate action by advising customers to disconnect access to their dealer management system and bringing in third-party cybersecurity experts to investigate and address the incident. The company provided regular updates to customers, assuring them that essential services like CDK Phones, DMS, and Digital Retail have been restored, with ongoing tests being conducted on other applications.

However, CDK experienced a second cyber incident on the evening of June 19th, prompting another shutdown of systems. The company is currently assessing the impact of this latest attack and working with external experts to determine a resolution timeline. As a precautionary measure, customer care channels have been temporarily suspended to maintain security integrity.

Speculation remains as to whether ransomware was involved in these cyber incidents, but the preventative measures taken by CDK suggest a focus on containing and mitigating potential threats. The decision to shut down systems and access points may have been a proactive step to prevent the spread of malicious activity.

Customers have been kept informed throughout the process, receiving updates on the situation and the company’s efforts to restore services. CDK Global is prioritizing the security and stability of its systems, emphasizing the importance of maintaining a secure environment for both customers and internal operations.

As the investigation continues and solutions are implemented, CDK Global remains committed to transparency and communication with its customers. The company’s swift response to the cyberattacks underscores the critical nature of cybersecurity measures in today’s digital landscape, highlighting the importance of vigilance and preparedness in the face of evolving threats.

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