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

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Car dealerships in North America revert to pens and paper after cyberattacks on software provider
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CDK Global, a company that provides software for thousands of auto dealers in the U.S. and Canada, was hit by back-to-back cyberattacks Wednesday.

NEW YORK — Car dealerships in North America continue to wrestle with major disruptions that started last week with cyberattacks on a software company used widely in the auto retail sales sector.

On Monday, Group 1 Automotive Inc., a $4 billion automotive retailer, said that it continued to use “alternative processes” to sell cars to its customers.CDK Global is a major player in the auto sales industry. The company, based just outside of Chicago in Hoffman Estates, Illinois, provides software technology to dealers that helps with day-to-day operations — like facilitating vehicle sales, financing, insurance and repairs.

“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. In light of the ongoing situation, a spokesperson for Stellantis said Friday that many dealerships had switched to manual processes to serve customers. That includes writing up orders by hand.

All Group 1 U.S. dealerships will continue to conduct business using alternative processes until CDK’s dealers’ systems are available, the company said Monday. Group 1’s dealerships in the U.K. don't use CDK’s dealers’ systems and are not impacted by the incident.

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