Car dealerships in North America revert to pens and paper after cyberattacks on software provider

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NEW YORK (AP) — Car dealerships in North America are still wrestling with major disruptions that started last week with cyberattacks on a company whose software is used widely in the auto retail sales sector.

NEW YORK — Car dealerships in North America are still wrestling with major disruptions that started last week with cyberattacks on a company whose software is used widely in the auto retail sales sector.

On Monday, Group 1 Automotive Inc., a $4 billion automotive retailer, said it is using “alternative processes” to sell cars to its customers. Lithia Motors and AutoNation, two other dealership chains, also disclosed that they implemented workarounds to keep their operations going.CDK Global is a major player in the auto sales industry.

“Based on the information we have at this time, we anticipate that the process will take several days to complete, and in the interim we are continuing to actively engage with our customers and provide them with alternate ways to conduct business,” she added. “When you see an attack of this kind, it almost always ends up being a ransomware attack,” Cliff Steinhauer, director of information security and engagement at the National Cybersecurity Alliance. “We see it time and time again unfortunately, the last couple of years. No industry and no organization or software company is immune.

“The people who've been around longer — you know, guys who have maybe a little salt in their hair like me — we remember how to do it before the computers,” said John Crane of Hawk Auto Group, a Westmont, Illinois-based dealership operator that uses CDK. “It’s just a few more steps and a little bit more time.”

In regulatory filings, Lithia Motors and AutoNation disclosed that last week's incident at CDK had disrupted their operations as well.

 

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