How car dealers can prioritize cybersecurity and protect their digital assets

Car dealerships are not immune to cyberattacks and ransomware, which can be very expensive to fix. That is why it is essential to have the best IT services to protect your data. Reynolds and Reynolds It recently acquired a cybersecurity agency, Proton Information Technology Agencyto expand their digital protection capabilities. Today at Inside Automotive, we dive into the details of this matter Obsession And the impact it will have on their trading partners. We are pleased to welcome Brad Holton, founder of Proton Dealership IT.

The acquisition was completed on August 1, and Holton says Reynolds and Reynolds now have the tools to help auto dealerships deal with cybersecurity risks and regulatory safeguards updates. In the end, he noted, the acquisition is “completely logical,” as it could help his company grow 50% to 60% annually.

Holton stated that the partnership with Reynolds & Reynolds brings together some of the best experts in the dealership and software industry, and will be a “game changer in the automotive business.” He states that the main things driving Proton Dealership IT’s growth are:

  • Updated Safeguards of the Federal Trade Commission (FTC)
  • Online insurance premiums are on the rise
  • Ransomware rises on a massive scale

The The Wall Street Journal I recently mentioned that car dealerships are “the number one target of hackers”. Holton says his company alone is consulted on an incident response mission once a month, since all dealers are vulnerable to attack.

About the update Federal Trade Commission safeguardsHolton finds that the FTC has been ambiguous at some points, but in the end, auto dealers certainly want to pursue it to comply with federal law, as this prevents enforcement action and may also help with insurance matters.

Holton notes that many OEMs are requiring auto dealers to obtain electronic insurance now, and the insurance application has moved from a one-page document to a seven- or eight-page document that requires information about cyberthreat detection and prevention within advanced dealers.

Car dealers are usually not well versed in cyber security issues, which is an area in which Reynolds and Reynolds can help. Holton says that IT and cyber security are not exactly the same thing, and his company works to prevent destructive attacks rather than perform traditional IT tasks like fixing hardware and internet connectivity issues.

Cyber ​​attacks can shut down car dealerships for weeks and can also lead to the withdrawal of partnership or acquisition contracts. Holton suggests preventing this as much as possible. Car dealers should have a third-party audit of their systems complete to look for vulnerabilities and cybersecurity issues.

Holton says he’s excited about the recent merger and his company’s goal is to educate auto dealers about what the updated FTC safeguards mean and where they should start to be fully compliant. Car dealers who already partner with Reynolds and Reynolds for any other service can ask their representatives about the company’s new cybersecurity offerings.

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