Cyberattacks on a software widely used by car dealerships have hamstrung operations both locally and across the country.
Software provider CDK Global shut down most of its systems “out of an abundance of caution” for customers Wednesday morning, CDK Global spokesperson Lisa Finney wrote in a statement to The Enquirer. By Wednesday afternoon, the company had restored its core dealer management system and digital retailing solutions, she added.
A second cyber incident late Wednesday prompted the company to curtail access to many of its products again going into Thursday, according Finney.
“We experienced an additional cyber incident and proactively shut down most of our systems. In partnership with third-party experts, we are assessing the impact and providing regular updates to our customers,” Finney wrote.
The company did not address questions about how long the shutdown is expected to last but said they “remain vigilant in our efforts to reinstate our services and get our dealers back to business as usual as quickly as possible.”
How are Cincinnati dealerships impacted?
It’s not clear how many dealerships in Cincinnati are affected by the outage, but CDK Global works with more than 15,000 retail locations in North America, according to their website.
McCluskey Chevrolet remains open on Thursday despite the software shutdown. While the outage strips the dealership of completing many computer-assisted tasks, they’re going about “business as usual,” Internet Sales Manager Karen Shepperd said.
“At the end of the day, we all know how to write,” Shepperd said. “We just have to go back to the fundamentals.”
Beechmont Ford and Walt Sweeney Ford confirmed they use the system and their operations are impacted by the issues. Requests for additional details from those dealerships about the scope of the issues they’re facing and how they’re adapting were not returned at the time of publication.
Jeff Wyler Lawrenceburg confirmed that they are also dealing with the fallout of the system being down but are staying open with workaround procedures while the software is inactive.
What does CDK Global do?
CDK Global provides software that dealerships use to manage a range of services, including sales, financing, inventory and vehicle maintenance.
The company offers a “three-tiered cybersecurity strategy to prevent, protect and respond to cyberattacks,” according to its website.
Why are car dealerships targeted in cyberattacks?
Car dealerships store sensitive customer data of interest to cybercriminals, including financial information and addresses, according to a 2023 article from insurance company Zurich North America.
A 2023 cybersecurity report from CDK Global found that out of 175 survey dealerships, 17% experienced a cyberattack in 2023, up from 15% in 2022. Of those attacks, 46% resulted in negative financial and operations repercussions.
This article originally appeared on Cincinnati Enquirer: CDK Global shuts down car dealership software after cyberattacks
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