Automotive

CDK cyberattack cripples auto dealerships, slows sales

Written by Laura Miller

June 25, 2024

A cyberattack on CDK Global has shut down the systems at automotive dealerships and slowed down sales across the US.

CDK provides data and technology to the automotive, heavy truck, and heavy equipment industries. Its integrated software platforms are used at dealerships for all parts of the business, including sales, financing, parts supply, repair, and maintenance.

The company was hit with a series of cyberattacks from an unknown source beginning on Wednesday, June 19. The attacks crippled its software systems at some 15,000 dealerships, according to reports.

The dealerships have been forced to use alternative measures to keep business going, including reverting to the old ‘pen and paper.’ This has slowed down business and sales considerably.

According to an Automotive News report, CDK told dealerships the outages would likely last through at least the end of the month.

As one Reddit user who works in the parts department at a US dealership explained, “CDK Global is the brains of a car dealership. Literally everything we do is controlled by this software.” According to him, “The CDK outage is a lot bigger than people realize.”

Laura Miller

Laura Miller is a reporter and editor for Steel Market Update. She has held a variety of positions within the steel industry since 2007, including reporting and editing for Steel Business Briefing/Platts, the Association for Iron and Steel Technology, and Kallanish Commodities, as well as marketing for what was then known as ThyssenKrupp Steel USA (now AM/NS Calvert). After a five-year hiatus working across other industries, she returned to steel in 2021 and has covered the flat rolled, tubular, and trade areas of the industry. She is a member of the Association of Women in the Metal Industries and a past-president of the AWMI Pittsburgh Chapter. She holds a BA in Latin American Studies from Edinboro University of Pennsylvania. She can be reached at laura@steelmarketupdate.com or 724-759-7869.

Read more from Laura Miller

Latest in Automotive