Alleged ‘attack’ takes down MJ Freeway’s software, causing chaos for marijuana retailers
MJ Freeway’s widely used software platform for cannabis businesses crashed over the weekend and remains down for most customers, creating ripples across the marijuana industry.
The outage has sent 1,000 marijuana retailers in 23 states scrambling to handle everything from sales and inventory management to regulatory compliance issues.
A number of dispensaries and recreational stores have had to close as a result. Others are dealing with lengthy lines and customer complaints, as it is taking them longer than usual to complete sales transactions.
MJ Freeway initially said on Sunday that it expected to restore service to the lion’s share of its customers by Monday and the rest on Tuesday.
But the company’s director of data and marketing, Jeannette Ward, revised the timeline Monday afternoon, saying that restoring the entire system will likely take longer than originally anticipated. She said the company is working on temporary solutions for customers.
Denver-based MJ Freeway told Marijuana Business Daily that it believes the outage was caused by a cyberattack of unknown origin.
“Our initial analysis indicates that this was a direct attack on MJ Freeway’s infrastructure,” Ward said.
The attack hit the company’s main databases as well as its backups, but Ward said no client data was stolen.
MJ Freeway has more than 1,000 retail cannabis clients and a presence in most states with active marijuana industries.