CDK Global’s Software Blackout: Nearly All Car Dealerships Back Online After Cyber Incident

CDK Global has announced that nearly all of its 15,000 car dealerships across North America are now back online following a cyber incident that caused a software blackout. The outage, which began on June 19, impacted the company’s systems that provide software to dealerships for managing various operations.

Auto dealerships rely heavily on CDK’s software for tasks such as scheduling and record-keeping. The company is actively working to bring other applications online and expects its Customer Relationship Management system to be operational starting on July 4.

The potential cost of the outage to car dealerships was significant, with estimates suggesting up to $944 million in direct losses due to business interruptions if the outage had lasted three weeks. It is a positive development that operations are gradually returning to normal after days of disruption.

The outage had significant implications for dealerships, affecting their ability to track customer interactions, orders, and sales, ultimately impacting their ability to generate income. Salesperson Bernard Irvin expressed concern about the impact on payroll at his dealership in South Carolina.

While the outage may have caused financial strain and operational challenges, CDK Global’s efforts to restore its systems are gradually bringing relief to affected car dealerships. Efforts are being made to ensure that all functions and services are back online as soon as possible.