Monday, October 20, 2025

Cyberattack Disrupts U.S. Auto Dealerships

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Auto dealerships in the U.S. are facing major disruptions after a cyberattack targeted CDK Global, a key software provider for thousands of dealers. This second attack has left dealers unable to run their stores, with CDK estimating that systems may be down for several days. The company informed customers of the incident, leading to the temporary shutdown of most systems.

The outage has impacted dealerships across the U.S. and Canada, forcing some to resort to manual processes. AutoNation Inc. and other dealership groups saw a drop in shares due to the situation. CDK is one of the few companies offering dealership management systems, along with Reynolds & Reynolds and Dealertrack. Dealers reported varying degrees of impact, with some unaffected while others faced disruptions.

Dealership managers expressed frustration over the lack of communication from CDK and the implications on their business. The National Automobile Dealers Association is seeking more information on the cyber incident. CDK, previously owned by Automatic Data Processing Inc., is now in the process of being acquired by Brookfield Business Partners.

As dealerships struggle to adapt to the outage, the industry is bracing for potential long-term effects. Customers may experience delays in transactions and other services until CDK’s systems are fully operational again.

Vocabulary List

  1. Disruptions /d?s?r?p??nz/ (noun): Disturbances that interrupt an event, activity, or process.
  2. Manual processes /?mænju?l ?pr???s?s?z/ (noun): Tasks that are performed by hand rather than by automated means.
  3. Dealership /?di?l?r??p/ (noun): A business authorized to sell a specific product, typically cars.
  4. Implications /??mpl??ke???nz/ (noun): The possible effects or results of an action or a decision.
  5. Frustration /fr??stre???n/ (noun): The feeling of being upset or annoyed due to inability to change or achieve something.
  6. Incident /??ns?d?nt/ (noun): An event or occurrence, especially one that is unusual or important.

Vocabulary List:

  1. Disruptions /dɪsˈrʌpʃənz/ (noun): Disturbances that interrupt an event activity or process.
  2. Implications /ˌɪmplɪˈkeɪʃənz/ (noun): The possible effects or results of an action or a decision.
  3. Frustration /frʌsˈtreɪʃən/ (noun): The feeling of being upset or annoyed due to inability to change or achieve something.
  4. Manual processes /ˈmæn.ju.əl ˈprɑː.sesɪz/ (noun): Tasks that are performed by hand rather than by automated means.
  5. Cyberattack /ˈsaɪbərəˌtæk/ (noun): An attempt to damage or disrupt a computer network or system.
  6. Outage /ˈaʊ.tɪdʒ/ (noun): A period when a service such as electricity or internet is not available.

How much do you know?

What is the main reason for the disruptions faced by auto dealerships in the U.S.?
Supply chain issues
Cyberattack on CDK Global
Natural disasters
Economic recession
Which company is in the process of acquiring CDK?
Reynolds & Reynolds
Dealertrack
Brookfield Business Partners
AutoNation Inc.
What did some dealerships resort to due to the outage?
Reducing prices
Hiring more staff
Implementing manual processes
Expanding their services
Which group saw a drop in shares as a result of the situation?
CDK Global employees
Customers
Automobile manufacturers
AutoNation Inc. and other dealership groups
What organization is seeking more information on the cyber incident?
National Automobile Dealers Association
United Auto Workers Union
Federal Reserve
U.S. Department of Transportation
Which company is mentioned as one of the few offering dealership management systems?
Amazon
Microsoft
Reynolds & Reynolds
Apple
This question is required

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