FTC Makes Statement on Connected Vehicle Data as Major Automaker Faces Class Action for Data Sharing Practices

Connected vehicles, and concerns about the data they collect, are making headlines.

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In a new blog post, the Federal Trade Commission warns automakers it will take action against them for the illegal collection, use, and disclosure of consumers’ personal data. This follows a recent class action complaint against General Motors, OnStar, and LexisNexis Solutions, where plaintiffs allege the companies violated individual privacy rights and consumer protection law through their collection and sharing of vehicle data with insurance providers. These statements and allegations, along with recent legislative developments pertaining to vehicle data, should serve as a wakeup call for those in the connected-car ecosystem: product development and sales practices must prioritize consumer privacy safeguards.