GM reaches $220M settlement over selling drivers’ private data

General Motors has agreed to pay $220 million to 36 states to settle allegations that it illegally sold private driving behavior and location information to data brokers. As part of the settlement, GM must get drivers' express consent before collecting or sharing their driving and location data, and a third party will assess the automaker's compliance with its new privacy program. This settlement comes after a New York Times report in 2020 revealed that GM and OnStar collected and sold drivers' geolocation data and driving behavior to third parties, including data brokers LexisNexis and Verisk. GM discontinued its Smart Driver program in 2024, but the company will still face increased scrutiny over its data collection and sharing practices. The settlement also reflects GM's existing agreements with California and the Federal Trade Commission (FTC).