Cyber risk within the automotive sector, including carmakers and car parts suppliers, is accelerating as the connected car experience creates vulnerabilities.
That’s the conclusion of a report from Moody’s, which found that increasing digitalisation, software-based functions like infotainment, advanced driver assistance, autonomous driving and a surge in the use of artificial intelligence leave the industry susceptible to security breaches.
The attack on JLR in 2025 results in closure of factories with huge losses to the carmaker and a major threat to the supply chain.
“Beyond exposure to ransomware attacks that can disrupt production and other key activities, auto manufacturers also face the potential for consumer data and privacy breaches at their captive finance operations.
“The risk of manipulation of remote vehicle access, safety and operations (braking, acceleration) pose potentially more severe consequences.
Although Mood’s did not address the issue of cyber risk within retail networks, it is well chronicled in the UK withArnold Clark hit by cyber attack in late December and others targeted.
Moody’s also cited the case of software giant CDK Global in the US which was badly hit by a cyber-attack in the UK.
“With high efficiency-driven manufacturing environments, complex supply chains and importance to regional economies, the automotive industry is a prime target for cybercriminals.
The sector continues to dedicate larger portions of budgets to cybersecurity.
This, it said, may prove important since we expect cyber risk will shift into higher gear this year as attackers exploit increasingly effective AI tools to enhance their tactics.
