Tata Motors: JLR cyber attack deepens crisis, production halted until October 1:

News Topical, Digital Desk : The impact of the cyber attack on Tata Motors' subsidiary, Jaguar Land Rover (JLR), is deepening. Following the cyber attack on August 31st, JLR halted its production lines. The company has now announced that production will remain halted until October 1st. This incident could have a significant impact on Tata Motors, as JLR contributes 70% of the company's consolidated revenue. According to reports, the cyber attack is causing JLR to lose approximately £5 million daily.

When did the attack happen?

August 31: JLR was cyberattacked. September 2: The company publicly disclosed the incident and shut down its systems. September 10: The company issued another statement, saying it was working with cybersecurity experts to restore global applications. The company also acknowledged that some data had been affected. September 16: The company initially halted production until September 24, later extending it to October 1. The company stated this step was taken to provide clarity to suppliers and employees.

How much did the company lose? According to British media reports, JLR could lose approximately 5 million pounds daily due to this incident. The BBC described the attack as coming at the "worst time" because September is the month when new registration plates are issued in Britain, a crucial month for car sales. The Telegraph reported that JLR's suppliers have been warned that car production may not resume until November.

Impact on Tata Motors : JLR contributes 70% of Tata Motors' total consolidated revenue. Therefore, a prolonged production shutdown could severely impact Tata Motors' revenue and profitability. Market analysts believe that if production remains halted until November, Tata Motors could face pressure on its quarterly results.

The way forward : JLR is currently conducting a forensic investigation of the cyberattack and is gradually attempting to restart operations in a phased manner. The company has stated that it will provide a clear timeline for the restart to suppliers and customers in the coming days.

Tata Motors stock has seen a decline from its previous highs. At the beginning of trading, the stock reached 707.8. However, it subsequently declined to 697. The stock is currently trading near the 700 level.