GM PAYS $12.75M TO SETTLE CALIFORNIA DATA PRIVACY LAWSUIT

Under the proposed settlement filed Friday, GM must also provide California drivers with the ability to disable location data collection from its OnStar service. The lawsuit alleged that GM violated privacy rights by monetizing sensitive driving information without proper consent. The case emerged following a 2024 New York Times report that detailed how automakers were sharing detailed driving data with insurers and other third parties. The settlement marks one of several legal actions against GM over its data practices. The agreement requires the company to honor customer opt-out requests and restricts data sales to brokers for the five-year period. GM's settlement signals growing regulatory pressure on automakers regarding data privacy. As vehicles become increasingly connected, questions about driver data collection and usage continue to intensify across the automotive industry.