Car Dealerships Crippled by Massive Computer System Outage
A significant computer system outage hit car dealerships across the US and Canada due to a cyber incident at CDK Global, a key data provider. CDK’s software is utilized by 15,000 auto dealers, severely impacting their operations.
CDK spokesperson Lisa Finney confirmed the incident in a statement to CNN, saying, “We are actively investigating a cyber incident. Out of an abundance of caution and concern for our customers, we have shut down most of our systems and are working diligently to get everything up and running as quickly as possible.”
CDK Global’s software supports various dealership operations, from managing sales records to scheduling services. Although not every dealership relies on CDK for all their functions, the outage has caused widespread disruption.
Jeff Ramsey, an executive with Ourisman Auto Group in Maryland, described the challenges faced due to the system shutdown. “We have customers coming in today who had deals saved in the system,” he said. The inability to access the server where customer information and deals are stored has hindered sales processes.
Ramsey acknowledged CDK’s efforts to protect sensitive data, understanding the necessity of the shutdown. However, he expressed concern about the potential business loss, as customers might turn to unaffected dealerships to avoid delays.
Brian Benstock, general manager of Paragon Honda and Paragon Acura in Long Island City, New York, also reported continued business operations despite the issues. “My selling team can hand-write a buyer’s order,” he said, though he noted the greater inconvenience for the dealership’s accountants and business staff.
By late afternoon, CDK reported that some systems had been restored, but full functionality had not yet been achieved.
