Yes. The Federal Trade Commission has acted against General Motors and OnStar over allegations that they collected and shared drivers’ precise location and driving-behavior data without adequate disclosure and consent. The FTC announced the case in January 2025 and finalized an order settling the allegations in January 2026. Separately, a 2024 letter from U.S. Senators Ron Wyden and Edward Markey reported that Honda and Hyundai each received less than a dollar per vehicle for data shared with Verisk. Those figures are specific examples, not an industry-wide rate or FTC finding.
What the FTC did in the GM and OnStar case
The FTC’s January 2025 announcement described the action as its first related to connected-vehicle data. The agency alleged that GM and OnStar encouraged consumers to enroll in OnStar and Smart Driver through a confusing process that did not adequately explain the collection and sharing of precise location and driving-behavior data or obtain affirmative consent. The allegations were resolved through a final order in January 2026; they should not be described as a finding against automakers generally. FTC announcement of the action · FTC announcement of the final order
The FTC said some users’ precise location data was collected as often as every three seconds. Its complaint described data being shared with consumer reporting agencies for reports used in insurance decisions. FTC Chair Lina M. Khan said in the 2025 announcement that GM monitored and sold precise geolocation and driver-behavior information, sometimes at that frequency. The cadence concerns some users; it is not a count of affected vehicles. FTC complaint
What “for pennies” means in the reported examples
The per-vehicle figures below come from a 2024 letter by Senators Wyden and Markey, which reported information provided by the automakers. They are not FTC findings, and two examples cannot establish a typical price across the industry. Senators’ letter to the FTC
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| Automaker and recipient | Vehicles and reported payment | Reported amount per vehicle |
|---|---|---|
| Honda to Verisk | 97,000 cars; $25,920 | 26 cents |
| Hyundai to Verisk | 1.7 million vehicles; $1,043,315.69 | 61 cents |
These figures describe payments to the automakers for data, not what a consumer was paid. The letter is the source for both the totals and the per-vehicle amounts.
What the final FTC order requires
The January 2026 order applies to GM and OnStar. It does not impose these requirements on every carmaker. The FTC says the order:
- Bars GM from disclosing specified geolocation and driver-behavior data to consumer reporting agencies for five years.
- For 20 years, requires affirmative express consent for covered collection, use, or sharing, subject to limited exceptions.
- Requires a way for U.S. consumers to request a copy of their data and seek deletion.
- Requires certain opt-out and location-disabling options.
The order’s terms and scope are described in the FTC’s final-order announcement.
Does this mean the FTC is investigating every carmaker?
No such industry-wide FTC action is established by these materials. The GM and OnStar matter is a finalized FTC case; the Honda and Hyundai payment figures come from the senators’ letter, not FTC enforcement findings against those companies. Texas pursued a separate state-level matter: its attorney general said Texas investigated several manufacturers and sued GM in 2024. That is not an FTC investigation. Texas Attorney General’s release
The FTC had already warned that connected cars can collect sensitive location and other data, with consequences for privacy and financial welfare. Its May 2024 policy post said the agency would act against illegal collection, use, and disclosure of personal data; the later GM case supplies the current enforcement example. FTC Office of Technology policy post
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What drivers can do about connected-car data
Data practices and controls vary by automaker, vehicle, connected service, and enrollment. The available case materials do not establish current practices across all brands or provide one universal setting that stops all collection. Drivers can start with the manufacturer’s applicable privacy notice and connected-service controls, paying particular attention to data types, recipients, purposes, and consent or opt-out choices.
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- Review whether connected services or driving-score programs are enrolled, and what data sharing their terms describe.
- Use available privacy, opt-out, or location-disabling controls where offered; disabling a feature may affect the connected service it supports.
- When selling or transferring a vehicle, remove personal information from its systems. The FTC’s consumer guidance recommends wiping personal data before a sale.
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