Car dealerships across North America that use CDK Global’s software are now back online after a cyber incident caused a software blackout. The outage began on June 19 and affected the company’s systems that service dealerships across the continent. CDK’s software is critical to the operations of auto dealerships, helping them manage various aspects of their businesses, including scheduling, records, and customer relations.
The incident resulted in significant financial losses for car dealerships if it had continued. If the outage lasted a full three weeks, it could have resulted in about $944 million in direct losses due to business interruptions for affected car dealers. Despite CDK’s efforts to restore its software, car buyers and dealers were still at a standstill for days, making it difficult for them to track customer interactions, orders, and sales.
For example, Bernard Irvin, a salesperson at a Ford dealership in South Carolina, expressed concerns about how the outage would affect payroll at his dealership. The progress made by CDK in restoring its software is an encouraging sign that operations can soon return to normal for car dealerships across North America.