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3w ago

GM Reaches $12.75 Million California Deal Over OnStar Data Sales

The proposed agreement sets a five-year halt on selling driver data alongside strict deletion and consent rules.

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An image collage containing 3 images, Image 1 shows Rob Bonta, Attorney General of California, resting his chin on his hand while looking up and to the right, Image 2 shows A Chevrolet dealership with new cars lined up, promotional banners, and a building with the Chevrolet logo, Image 3 shows The GM logo on the side of a glass building
GM must allow its California customers to disable the company's remote collection of all data from their vehicles if they decide not to enroll in OnStar.

Overview

  • GM agreed to a $12.75 million California settlement announced Friday that would set the largest penalty yet under the state’s Consumer Privacy Act, pending court approval.
  • California officials say GM sold names, contact details, precise location data, and driving behavior from OnStar users to LexisNexis and Verisk from 2020 to 2024 without clear notice or consent.
  • Terms require a five-year stop on transfers of driving data to consumer reporting agencies, deletion of retained data within 180 days unless customers consent, and requests that both brokers erase previously received data.
  • The deal adds clearer privacy notices and lets California drivers disable OnStar’s remote data collection and precise location tracking, while GM denies wrongdoing and notes it ended Smart Driver in 2024.
  • Regulators estimate GM made about $20 million nationwide from these sales, say California rates likely did not rise due to a state ban on using driving data, and point to ongoing FTC limits and active lawsuits in other states and the federal multidistrict case.