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
- Disruptions /d?s?r?p??nz/ (noun): Disturbances that interrupt an event, activity, or process.
- Manual processes /?mænju?l ?pr???s?s?z/ (noun): Tasks that are performed by hand rather than by automated means.
- Dealership /?di?l?r??p/ (noun): A business authorized to sell a specific product, typically cars.
- Implications /??mpl??ke???nz/ (noun): The possible effects or results of an action or a decision.
- Frustration /fr??stre???n/ (noun): The feeling of being upset or annoyed due to inability to change or achieve something.
- Incident /??ns?d?nt/ (noun): An event or occurrence, especially one that is unusual or important.
Vocabulary List:
- Disruptions /dɪsˈrʌpʃənz/ (noun): Disturbances that interrupt an event activity or process.
- Implications /ˌɪmplɪˈkeɪʃənz/ (noun): The possible effects or results of an action or a decision.
- Frustration /frʌsˈtreɪʃən/ (noun): The feeling of being upset or annoyed due to inability to change or achieve something.
- Manual processes /ˈmæn.ju.əl ˈprɑː.sesɪz/ (noun): Tasks that are performed by hand rather than by automated means.
- Cyberattack /ˈsaɪbərəˌtæk/ (noun): An attempt to damage or disrupt a computer network or system.
- Outage /ˈaʊ.tɪdʒ/ (noun): A period when a service such as electricity or internet is not available.