Dealerships using CDK Global software are gradually recovering from a severe cyberattack that caused significant disruption.

A cybersecurity firm involved in the recovery process has reported that services are being restored and operations are returning to normal.

CDK Cyberattack

Sam Rubin, the vice president and global head of operations for Palo Alto Networks Inc., stated that Unit 42 is collaborating closely with CDK and their partners to restore operations. Dealerships are rapidly transitioning to online platforms and services are being reinstated.

According to a customer help phone line, the company announced on Friday (June 28) that they are implementing a phased approach to the restoration process and are in the process of bringing a second group of dealers online.

A cyberattack erupted on June 19, causing widespread chaos for numerous dealers who heavily depend on CDK's management software.

According to Bloomberg News, a hacking group known as BlackSuit has been held responsible for the ransomware attack and is now demanding a staggering sum of money in ransom.

CDK previously informed dealers that the outages may continue for certain dealers until June 30. 

Several media sources have stated Allan Liska, a ransomware analyst at Recorded Future, has identified the hacking group responsible for the cyberattack on CDK as BlackSuit.

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CDK Car Dealerships

According to Reuters, BlackSuit is a cybercriminal team that emerged from an older hacking group known as RoyalLocker, which has ties to Russia. According to security firm Recorded Future, a significant number of organizations worldwide have been breached by the group.

CDK said car dealerships are increasingly being targeted by cybercriminals. The report found that out of 175 surveyed dealers, 17% experienced a cyberattack or incident in the past year, which is a slight increase from the previous year's 15%.

Among the dealers surveyed, 46% reported experiencing a detrimental financial or operational impact as a result of the cyberattack.

Dealerships have become a prime target due to the significant amount of sensitive customer data they possess.

According to a 2023 article from insurance company Zurich North America, dealerships possess a wealth of information that is highly sought after by hackers. This includes credit applications and customer financial information.

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