TSLA Tesla Inc

One year after hackers showed they could control a moving Jeep, Fiat Chrysler Automobiles NV has a new solution to get computer whizzes to work more closely with it: pay them.

The Italian-U.S. auto maker is launching a so-called bug bounty program aimed at compensating hackers between $150 and $1,500 every time they uncover potential cybersecurity flaws in the vehicles and alert the company. The auto maker has tapped Bugcrowd Inc., a San Francisco company that runs bug bounty programs that compensate hackers willing to work with companies or other organizations to uncover gaps.

Bugcrowd already runs a program for electric-car maker Tesla Motors Inc. Tesla also fell victim to a high-profile security hack last year, when computer-security researchers revealed they had found a way to effectively power down a Tesla Model S by hacking the entertainment system. Tesla issues a patch to resolve the problem.

Fiat Chrysler and the rest of the auto industry were caught off guard earlier last summer when two researchers demonstrated they could take control of a moving Jeep Cherokee from a laptop miles away using the vehicle's wireless communications system. Fiat Chrysler fixed the security flaw through a vehicle recall and software patch, but the hack raised new questions about the safety of the growing pool of internet-connected cars on the road.

Auto makers are packing more electronics and related software in vehicles to offer buyers better safety gear, communications capability and seamless connectivity to information available outside the car's cabin. This development has increased concerns that cybercriminals will successfully target automobiles with various threats, including data-stealing schemes or ransomware that locks individuals out of their car's functions with a demand for payment in exchange for an encryption key to regain functionality.

Several car companies, including Fiat Chrysler, have built up cybersecurity teams that work to safeguard everything from corporate information technology to the ability of vehicles to withstand hacking threats. Auto parts suppliers developing much of the software in cars are subject to security standards that are getting more stringent.

Although bug bounty programs are increasingly common at American corporations, the auto sector has been relatively slow in offering payment schemes for hackers looking to identify vehicle security flaws. General Motors Co. runs a voluntary hacking disclosure program on the hackerone.com website where hackers can volunteer information.

GM is receiving or resolving several cybersecurity reports a day, according to the site.

Write to John D. Stoll at john.stoll@wsj.com

(END) Dow Jones Newswires

July 13, 2016 01:05 ET (05:05 GMT)

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