Renewed Threats to Dealership Data and Systems
April 17, 2025
As dealerships across the automotive, powersport, marine, and RV sectors rely more on technology, they’ve become prime targets for cybercriminals. The reappearance of the Chinese hacker group FamousSparrow and recent ransomware attacks highlight the urgent need for stronger cybersecurity.
FamousSparrow Resurfaces
The China-linked hacker group FamousSparrow has returned with upgraded tools like its backdoor SparrowDoor and malware platform ShadowPad. Recent attacks in the U.S., Mexico, and Honduras exploited outdated software, emphasizing the evolving nature of cyber threats.
Ransomware Hits Dealerships
In June 2024, Findlay Auto Group—a network of over 30 dealerships in Las Vegas—was hit by ransomware. Operations were nearly shut down, sensitive customer data was exposed, and a class-action lawsuit followed. The incident revealed how vulnerable dealerships can be.
The High Cost of Weak Security
Cyberattacks bring more than just ransom demands—they cause downtime, reputational damage, and legal consequences. The Findlay case exemplifies how security lapses can severely impact business.
What Dealerships Can Do
To strengthen defenses, dealerships should:
- Regular Software Updates: Ensure all systems and devices are updated to protect against known vulnerabilities.
- Employee Training: Educate staff on recognizing phishing emails and other common cyber threats and best practices on securing customer private data.
- Periodic Risk Assessments: Review your policies, procedures, and processes to determine areas of risk and controls necessary to mitigate that risk.
- Endpoint Security: Implement robust endpoint detection and response for all connected devices.
- Incident Response Plans: Develop and regularly test plans to respond effectively to cyber incidents.
Conclusion
The rise in dealership-targeted attacks shows that cybersecurity must be a top priority. Protecting customer data and operations is not just an IT concern, it’s a business necessity. Those who invest in security today will earn customer trust and resilience for tomorrow.
Matt Vatter
Chief Compliance Officer, Accelerate2Compliance
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