FTC settlement bans GM from sharing driver location data for five years [Video]

What just happened? General Motors and the FTC have reached a settlement over allegations that the automaker shared details about driver locations and behavior to third parties without consent. GM is now banned from carrying out these actions for five years.

In March 2024, a New York Times report uncovered how connected cars with built-in telematics share driver statistics and data with insurers, often without the owners even realizing it.

One of these companies was GM, which collected location and driving data through its OnStar connected vehicle service – a GM subsidiary that provides subscription-based communications, security, emergency services, navigation, and remote diagnostics – as well as its OnStar Smart Drive feature. According to the FTC, GM did not clearly disclose these practices, and the data was subsequently sold to third parties, such as consumer reporting agencies.

A few users …