GM to Pay $12.75M for Selling Driver Data Without Consent

General Motors (GM) has agreed to pay $12.75 million to settle allegations that it illegally sold the location and driving data of hundreds of thousands of Californians without their knowledge or consent, according to statements by California Attorney General Rob Bonta on Friday.

The settlement, which is subject to court approval, includes civil penalties and a five-year ban on GM selling personal data collected through its OnStar service. The automaker reportedly made approximately $20 million nationwide from these sales between 2016 and 2024. According to Reuters, the settlement also restricts GM's use of consumer driving data and includes a five-year ban on such data being sold to brokers.

The investigation, conducted in conjunction with several district attorneys across California, found that GM had sold names, contact information, geolocation data, and driving-behavior data to Verisk Analytics Inc. and LexisNexis Risk Solutions. This data was collected through OnStar's services, which provide directions and emergency assistance.

GM stated the settlement addresses its discontinued Smart Driver product and reinforces steps taken to strengthen privacy practices. The company committed to being transparent about data collection and usage. The U.S. Federal Trade Commission (FTC) had previously criticized GM’s behavior as an 'egregious betrayal of consumers’ trust'. In January 2025, the FTC barred GM from disclosing or selling sensitive vehicle geolocation and driver behavior data to consumer reporting agencies for five years.

California's Attorney General Rob Bonta emphasized that modern cars are 'rolling data-collection machines' and stressed the importance of consumers knowing what data is collected, how it is used, and their opt-out rights. The settlement marks the largest penalty under California’s Consumer Privacy Act to date.