Car Dealership Cyber Attack Across the U.S. in June 2024: What We Know

Car Dealership Cyber Attack Across the U.S. in June 2024.image

Cyberattack Disrupts Car Dealerships Across the Nation

Car Dealership Cyber Attack: There have been disturbances in the automotive industry as a result of a major cyber attack that forced the suspension of services at car dealerships across the United States affecting approximately 15,000 dealerships.

The first attack occurred on June 20, 2024, affecting the software platforms used by dealerships and leading to a major outage that had a detrimental effect on their daily operations.

A Second Attack Makes Things Worse

Just as the impacted dealerships were beginning to recover, a second cyberattack occurred the Next morning, making matters worse and making it more difficult for dealerships to restore their systems and carry on as usual. Even though the specifics of this attack are still unknown, its effects are already being felt across the industry.

Impact on Major Auto Retailers

This cyber incident has significantly impacted traded dealerships and auto retailers, including well-known brands such as Subaru and Toyota.

Due to disruptions in these businesses, sales representatives have been forced to conduct transactions on paper because they do not have access to automated systems. The dealerships and their clients are being negatively impacted by the delays and inefficiencies brought on by this return to procedures.

Investigation and Response

Efforts are underway to investigate these attacks and respond effectively to mitigate their impact, on the sector. Cybersecurity experts are actively working to identify the point of entry and determine the extent of the vulnerability, so the investigation into the breach is still ongoing.

This incident fits into a worrying trend of cyberattacks against supply chain participants that provide customer support software. When these providers fall victim to attacks it causes reaching disruptions, across the supply chain.

Dealerships and Clients Held in Waiting

Car dealerships and their customers are currently, in a state of uncertainty waiting for guidance from their parent companies on how to move. They are requesting patience from their clients as they attempt to resolve the problems brought on by cyberattacks. This circumstance demonstrates how services are becoming more vulnerable to cyberattacks. Emphasizes the importance of implementing strong cybersecurity measures.

Government Response and Potential Actions

Considering the magnitude of the impact, it is possible that the government will step in or provide guidance through organizations such as the Department of Homeland Security.

Cybersecurity professionals and the industry are closely observing the latest developments to determine whether any new laws or support programs will be put in place to stop similar incidents from happening in the future.

The recent cyberattack on American auto dealerships is a sign of the weaknesses in our increasingly digital world.

The aftermath that dealerships and customers are dealing with highlights cybersecurity’s critical role in protecting business operations. It is obvious that in the long run, the industry will need to take major steps to strengthen its defenses against attacks and prevent interruptions.

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LATEST BLOGS
  • What happened in the car dealership cyber attack?

    In June 2024, CDK Global, a major software provider for auto dealerships, experienced a significant cyberattack.

    The attack forced CDK Global to temporarily shut down most of its systems, impacting approximately 15,000 car dealerships across the country.

  • Which car dealerships were affected by the car dealer cyber attack in the us?

    Dealerships under General Motors, Group 1 Automotive, and Holman were among those impacted by the attack.

    Sales operations at these dealerships were halted due to the disruption caused by the cyberattack.

  • What services does CDK Global provide?

    CDK Global offers software and cloud-based solutions for automotive dealerships and original equipment manufacturers (OEMs).

    Their services include digital retail experiences, financial software, marketing tools, and customer data management.

  • How is CDK Global responding to the car dealer cyber attack situation?

    CDK Global is collaborating with third-party experts to assess the impact of the attack.

    They have prioritized restoring their core Dealer Management System (DMS) and Digital Retailing solutions to ensure customer security.

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