GM agrees to pay $12.75M to resolve a California investigation into claims that it illegally sold the location and driving data of OnStar subscribers to brokers (David Shepardson/Reuters)

General Motors agreed to pay $12.75 million to California regulators after allegedly selling OnStar subscriber location and driving data to third-party brokers without proper authorization, highlighting critical data governance and privacy compliance risks for connected device manufacturers. This settlement underscores the growing regulatory scrutiny and financial exposure IT organizations face when managing customer data, particularly regarding unauthorized data monetization and inadequate consent mechanisms. Technology leaders must reassess data handling policies and third-party data sharing agreements to avoid similar regulatory penalties and reputational damage.