CDK Global investigates cyber incident, closes all systems

Representative image. (Photo Credit: Unsplash)

Retail technology and software provider CDK Global was investigating a cyber incident that prompted the company to proactively shut down all its systems temporarily. In a statement released on Wednesday, the company, which provides software solutions to car dealerships, stated that its core dealer management system and digital retailing solutions had been restored.

CDK Global further elaborated that it had conducted extensive testing and consulted with external third-party experts following the incident. The company reassured its customers and stakeholders by stating, “We are continuing to conduct extensive tests on all other applications, and we will provide updates as we bring those applications back online.”

According to a report by Bloomberg News, CDK’s systems initially went down around 2:00 a.m. EDT (0600 GMT), and some functions began to come back online by Wednesday afternoon. The company’s proactive response to the cyber incident demonstrates its commitment to ensuring the security and integrity of its systems and data.

CDK Global’s acquisition by investment firm Brookfield Business Partners in April 2022 for $6.41 billion in cash was a significant milestone, as the deal took private the last major publicly traded provider of software to auto dealers and manufacturers.

While major automakers such as Ford, General Motors, and BMW did not immediately respond to Reuters’ request for comment sent outside regular U.S. business hours regarding the potential impact of the cyber incident on their dealerships, CDK Global’s swift action and transparency in addressing the situation are commendable.

The incident highlights the increasing importance of cybersecurity measures and the need for robust incident response protocols in the highly interconnected and technology-driven automotive industry.  

WionDrive News Desk: