FTC Cops GM's Car Data: Your Driving Habits Are Now Private

In a significant move for consumer privacy, the U.S. Federal Trade Commission has issued a final order that places strict limits on General Motors and its OnStar telematics service regarding the collection and sharing of vehicle data. Announced in mid-January 2026, this action concluded that GM had collected and disseminated detailed driving information without obtaining clear customer consent. The collected data included precise locations and driving behaviors like hard braking and speeding, which critics feared could be exploited by insurers or other entities.

For the next five years, GM and OnStar are prohibited from disclosing consumers' precise location and driving behavior data to consumer reporting agencies, such as those compiling credit and insurance risk reports. This prohibition aims to prevent potential harm to consumers through altered insurance outcomes or financial profiles. Beyond this initial period, a two-decade order mandates that GM must secure affirmative, explicit consent from every U.S. consumer before collecting, using, or sharing such connected vehicle data in most non-emergency situations.

This regulatory intervention was prompted by a complaint filed in January 2025, which investigated GM's 'Smart Driver' feature. While marketed as a driving improvement tool, the FTC found that the feature's signup process and inadequate disclosures misled many users. Although GM discontinued the Smart Driver program in April 2024, the FTC's complaint highlighted that these past practices affected millions of drivers. The FTC's order signifies a potential shift in how connected car data privacy will be managed across the industry.