General Motors to pay $12.75m settlement for selling drivers' location and data

General Motors to pay $12.75m settlement for selling drivers' location and data

Briefly

"General Motors (GM) agreed to pay $12.75m to resolve claims that it illegally sold hundreds of thousands of Californians' location and driving data to two data brokers, said the state's attorney general, Rob Bonta, on Friday. He said this came after the Detroit-based automaker had given numerous statements reassuring drivers that it would not do so. General Motors sold the data of California drivers without their knowledge or consent, Bonta said in a statement."

"This trove of information included precise and personal location data that could identify the everyday habits and movements of Californians. The $12.75m settlement, which is subject to court approval, is for civil penalties. The state is also restricting GM's use of consumer-driving data and instituting a five-year ban on such data being sold to any data broker."

"Once the precise location of a vehicle is revealed, all sorts of sensitive information can be gleaned, including where people live, work, go to school or church. When that data makes its way into the data broker industry, it can be nearly impossible for consumers to control how it's spread. Modern cars are rolling data-collection machines, said Brooke Jenkins, San Francisco's district attorney."

"Californians must have confidence that they know what data is being collected, how it is being used and what their opt-out rights are. Those duties fall on the automobile companies. Carmakers have been increasingly scrutinized in recent years over their ability to access driver data and share it with insurance companies and data brokers."