Group claiming CDK systems hack demands millions of dollars, Bloomberg News reports By Reuters
(Reuters) – A group of hackers who claimed responsibility for a cyberattack on CDK software systems demanded a multimillion-dollar ransom to put an end to the hack that affected auto dealers across the United States, Bloomberg News reported on Friday.
The group behind the attack is believed to be based in Eastern Europe, according to the report, which cited people familiar with the matter.
Bloomberg News reported that the automotive retail technology and software provider intends to pay the ransom.
CDK, which provides software to car dealerships, did not immediately respond to a Reuters request for comment.
US auto retailers Sonic Automotive (NYSE:) and Penske Automotive reported a hit to their operations on Friday, with CDK experiencing a third straight day of outages.
In an email statement, Ford (NYSE:) said there was an industry-wide system outage for traders using the CDK.
“However, many Ford and Lincoln customers are able to receive sales and service support due to alternative operations available to our dealers,” Ford said.
Sonic said its dealerships are open and are working to minimize disruption. The company said it was unable to determine whether the outage would impact its financial position, but it had an “adverse impact” on its operations.
Penske said its Premier Truck Group business, which sells new and used commercial trucks, also uses CDK's defunct dealer management system.
“Premier Truck Group has implemented its business continuity response plans and continues to operate at all locations with manual or alternative operations,” Penske said.
The commercial truck dealership business has lower unit volumes than Penske's auto dealership business, which does not rely on CDK software.
Separately, Kia America told Reuters it was working with affected dealers to limit the impact of the outage and continue “business as usual.”
CDK says on its website that it works with more than 15,000 retail locations across North America.
