Large - Scale Supply Chain Hack On Auto Industry

Uploaded on 2024-06-24 in TECHNOLOGY--Hackers, NEWS-Cybersecurity News, FREE TO VIEW, BUSINESS-Services-Transport & Travel

Hackers are claiming responsibility for a cyberattack on CDK Global software systems that provides software for thousands of car dealerships in the US.

The Illinois-based company issued an urgent warning Friday 20th June, cautioning people about bad actors posing as employees during phone calls to get credit card details and access to their accounts.

CDK has said it experienced a cyber incident on Wednesday19th June and it is understood they have received a demand for millions of dollars in ransom to restore systems. US auto retailers Sonic Automotive and Penske Automotive also announced that they have been attacked

According to sources, CDK has launched an investigation by experts, notified law enforcement and has begun the restoration process. CDK said restoration will take several days. "...In the interim we are continuing to actively engage with our customers and provide them with alternate ways to conduct business," CDK said in the statement.

It is understood that CDK briefly restored some services for a few hours on June 19th, but was forced to deactivate them following a second cyber attack.

The automaker Ford said that there was an industrywide system outage for dealers who use CDK. "However, many Ford and Lincoln customers are able to receive sales and service support due to alternative processes available to our dealers," they said.

Sonic Automotive said its dealerships were open and it was working to minimise the disruption. The company said it was unable to determine if the outage would affect its financial condition, but that it did have a "negative impact" on its operations.

CDK has warned its customers that that their systems likely will not be available for a number of days.

Image: Denin Lawley

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