Jaguar Land Rover to Pause Production for Third Week Due to Cyberattack
Jaguar Land Rover has extended its production halt into a third week due to a cyberattack earlier this month. The company faces losses estimated at up to £72 million each week as operations are slowly restarted.
Luxury car-maker Jaguar Land Rover announced on Tuesday that it will not resume vehicle manufacturing operations until at least September 24 due to a cyberattack that occurred earlier this month.
In a new statement, the company confirmed that the halt in production would extend into its third week. The decision to pause operations is attributed to the “controlled restart of our global operations, which will take time,” as the company works to mitigate the effects of the cyberattack.
Laura Savvas, a spokesperson for Jaguar Land Rover, which Tata Motors owns, declined to offer additional details when contacted by TechCrunch.
According to the BBC, the IT and manufacturing shutdown is estimated to cost the company at least £50 million (approximately $68 million) per week in lost production, as it is unable to produce its usual volume of 1,000 cars per week. However, estimates from The Telegraph suggest the losses could be as high as £72 million (nearly $100 million).
Suppliers for Jaguar Land Rover have expressed concerns over the prolonged shutdown, fearing they may not be able to survive such a lengthy interruption. They are worried about potential bankruptcy, according to the BBC.
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