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GM Emphasizes Data Transparency After $220 Million State Settlement

The agreement requires consent for covered driving and location data and includes privacy safeguards and dealership training.

An empty car sits behind a glass partition in a dealership showroom. / TokenPost.ai
An empty car sits behind a glass partition in a dealership showroom. / TokenPost.ai

General Motors (GM) said it remains committed to explaining its connected-car data practices as it agreed to pay $220 million to resolve claims brought by 35 states and Washington, D.C.

GM described connected-vehicle information as a way to support safer, more personalized experiences. It said it was “committed to being clear about what information is used, how it’s protected, and the choices customers have about what they share.”

The state case centered on Smart Driver, which GM promoted as a service for parents monitoring teen driving and adults tracking their own habits. State attorneys general alleged that GM enrolled drivers without proper disclosure and shared driving and location data with brokers, who resold it to insurance companies.

Under the settlement, GM must obtain consent before collecting or sharing covered driving and location data. It must also safeguard that information, assess its privacy program and strengthen dealership oversight and training, as outlined in the settlement’s privacy provisions.

GM discontinued Smart Driver across its vehicle lineup. A separate settlement with the Federal Trade Commission (FTC), finalized in January 2026, bars GM and its OnStar subsidiary from sharing geolocation or driving-behavior data with third parties for five years.

Riza Dagoc

Riza Dagoc reports on regulation, investing and the digital-asset business for TokenPost. Send corrections or tips to info@tokenpost.com.

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