CDK Global has initiated the restoration of its core dealer management system (DMS) to a select group of dealerships following a recent ransomware attack. The incident, occurring on June 19, resulted in a widespread system shutdown impacting thousands of car dealerships globally.
A recorded message for customers on Thursday revealed, “Once validation is completed, we will then begin phasing in other dealerships on the core DMS, accounting, parts, service, sales, [finance and insurance], user management, and document management.”
Austin, Texas-based CDK anticipates the recovery process to extend through the weekend, targeting June 30 for full system restoration. The cyberattacks on June 18 and 19 forced a shutdown of most of CDK’s systems. Serving over 15,000 dealerships, CDK’s software provides essential services like customer relationship management (CRM), payroll, finance, and other critical functions.
The ransomware attack disrupted business operations across thousands of car dealerships globally. The recovery process presents complexities, with some integration points with original equipment manufacturer (OEM) systems and third-party partners not being immediately live. These integrations will be phased back in expediently. CDK is also working to restore additional applications, including its CRM system.
CDK has refrained from commenting on reports suggesting a potential ransom payment, purportedly in the tens of millions of dollars, to accelerate system recovery. While managing the initial attack, CDK experienced a second cyberattack on the evening of June 19, leading to a proactive shutdown of most systems.
AUTO TECH | CDK Global Cyberattack Shuts Down Thousands of US Car Dealerships