News Summary

The Federal Trade Commission (FTC) has imposed a five-year ban on General Motors (GM) and its subsidiary OnStar from selling driver data, including geolocation and driving behavior, to third parties. This action follows allegations that GM collected and sold detailed information about drivers’ habits without obtaining proper consent. The data was reportedly used by insurance companies to set rates. GM’s Smart Driver program, which gathered data such as hard braking and late-night driving, was at the center of this controversy. The program has since been discontinued, and GM has agreed to enhance transparency and obtain affirmative consent from customers before collecting such data in the future.