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Car dealerships revert to pens and paper after cyberattacks on software provider

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Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#11

I know some (former) CDK alumni and I'm not surprised. Notorious for paying below market in engineering and IT. A place to cut your teeth but not to stay.

Why don't they have any competition?

My hot take is auto dealers are a notoriously painful enterprise sales cycle due to network effects aka "good 'ol boys" club (anecdotally from folks in tech who have to deal in this industry).

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#13
This is what happens when a single player (CDK Global) has massive market share (90% when measured by number of vehicles sold [0] --- EDIT: this is actually the combined market share of CDK + Reynolds, who have a non-compete agreement ---). The entire industry becomes fragile to product issues and/or malicious attacks. Anti-trust is important.

[0] https://casetext.com/case/loop-llc-v-cdk-global-llc-in-re-de...

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#15
Related note: car stealerships are a relic of the past. There is no reason why a middleman should exist when buying a car. Consumers should have the option to purchase directly from the manufacturer.

I am personally not a fan of Tesla as a vehicle, but I admire the business model of buying directly from Tesla. Stealerships are a drain on the consumer. All that land they own can be used for productive economic activity or housing.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#16

I'm trying to buy two cars right now, and this has put a big wrench in the process. The dealership can't tell me what's on their lot compared to what's on their Website, except by going out and searching.

Maybe offer to bring them more pens and paper so they can send someone out to make a list of what's on their lot.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#17

I'm trying to buy two cars right now, and this has put a big wrench in the process. The dealership can't tell me what's on their lot compared to what's on their Website, except by going out and searching.

Wow sounds awful for them. They might have to get up from their desks.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#18

I know some (former) CDK alumni and I'm not surprised. Notorious for paying below market in engineering and IT. A place to cut your teeth but not to stay.

Why don't they have any competition?

they do. there are a couple of large competitors and several small ones. the reason there are not more boils down to: a high barrier to entry, since software suites (not individual products) are often needed, and the high cost of retraining folks using older systems in order to use your new, better product.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#19

I would bet that a developer knew of the security issues, but was vetoed by Product.

The usual case for software development the last decade is developers who don't fully understand what they're doing, and are mostly focused on resume-driven-development (RDD) and looking good in Agile sprint standups.

Noteworthy exceptions: FAANG promotion bid orientation, and VC growth startup alignment towards shipping something to look like growth towards exit.

In a small minority of cases, you have developers who know what they are doing, and are thinking rigorously.

The norm isn't big-meanie Product making (forthright, courageous, photogenic) developers ship negligent security vulnerabilities, against developers' protests. Developers are at least as much responsible as Product.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#20

Earlier quoted context omitted.

Why don't they have any competition?

My hot take is auto dealers are a notoriously painful enterprise sales cycle due to network effects aka "good 'ol boys" club (anecdotally from folks in tech who have to deal in this industry).

can confirm. also the high cost entailed to retrain folks from one system to a newer one.
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