CDK Cyber Outage Disrupts US Auto Dealers for Second Day
Retail technology and software provider CDK Global faced a major cyber outage that extended into its second day on Thursday, heavily impacting automobile dealers across the United States.
Impact on Auto Dealerships
"The outage is impacting automotive dealerships across the U.S. and Canada, including a portion of BMW Group dealers," stated a spokesperson for BMW North America.
Proactive Shutdown and Recovery Efforts
CDK experienced the cyber incident on Wednesday and decided to proactively shut down most of its systems. The company is currently working to restore its services and aims to normalize dealers' operations soon. Although CDK Global has not disclosed the number of affected dealerships, it’s known that CDK collaborates with more than 15,000 retail locations across North America, according to its official website.
Communication with Dealers
A letter from CDK to dealers indicated that it might take several more days for the systems to be fully operational again.
"Dealers are very committed to protecting their customer information and are actively seeking information from CDK to determine the impact of the cyber incident," mentioned the National Automobile Dealers Association.
Broader Impact
The cyber outage also disrupted Holman, a privately owned vehicle dealer, including its phone systems.
Background and Context
Brookfield Business Partners acquired CDK in April 2022 through a cash deal worth $6.41 billion, taking the last major publicly traded software provider to auto dealers and manufacturers private.
CDK's ongoing efforts aim to restore normalcy while ensuring customer data remains secure. The impact of the outage continues to be a significant concern for US auto dealers and their operations.
Rueben Foster for SEO News.
