What the Northeastern Study Uncovered
Researchers at Northeastern University, in partnership with Consumer Reports, investigated 21 late-model vehicles from 19 different brands to map out their data-sharing habits. The findings were eye-opening: nineteen of the cars sent data to at least
one third-party company over their Wi-Fi connection. The study also looked at 30 companion mobile apps from the automakers and found that the data sharing often gets more aggressive when you pair your phone. Seven of these apps were found to be transmitting sensitive personal identifiers—including Vehicle Identification Numbers (VINs), email addresses, and even precise location data—to companies involved in advertising and data analytics. For example, some GM apps were found to be sending VINs to a dozen companies, including Microsoft and Adobe. What's concerning is that a VIN, unlike a browser cookie or advertising ID, is a permanent identifier for your vehicle and cannot be reset.
Your Car, The Data-Gathering Machine
Modern vehicles are equipped with an array of sensors, cameras, and internet-connected systems that generate a massive amount of information. This isn't just about vehicle health diagnostics like tire pressure or engine fault codes. Cars can collect your location history from the navigation system, monitor your driving behaviour (like acceleration and braking patterns), and even access data from your synced smartphone, including call logs, contacts, and text messages. Some systems even use inward-facing cameras to track driver attentiveness. This data is incredibly valuable. By 2030, the market for vehicle-collected data could be worth as much as $750 billion globally, according to one estimate from McKinsey & Company.
Where Does Your Data Go?
The data from your car doesn't just stay with the manufacturer. As the Northeastern study highlighted, it's often shared with a complex web of third parties. These can include big tech companies like Google, Meta, and Amazon, as well as data brokers and analytics firms. Why? This information is used for targeted advertising, market research, and product improvement. In some of the more controversial cases, this driving data has been shared with insurance companies. Details about your driving habits—how fast you drive, how hard you brake, and what time of day you're on the road—can be packaged and sold, potentially influencing your insurance premiums without you even realising you opted in.
The Illusion of Choice
Most drivers are unaware of this data collection, and manufacturers often point to lengthy and confusing privacy policies that users agree to. The researchers noted that while the policies for the apps they tested did disclose that personal data may be passed to third parties, they often failed to specify which companies or for what purpose. When the researchers presented their findings to the car companies, many stated that the data flows were in line with their vendor contracts and that it's the owner's responsibility to accept the terms of service. Opting out is often difficult, if not impossible. Some manufacturers warn that disabling data collection could lead to 'reduced functionality' or even 'serious damage', affecting features like over-the-air updates and navigation.
What Can Consumers Do?
While the landscape can feel overwhelming, there are steps drivers can take to be more informed. Start by reviewing the privacy settings in both your vehicle’s infotainment system and its companion app. Understand what services you have enabled and be cautious before enrolling in programs that monitor driving behaviour, especially those offering insurance discounts. However, individual action can only go so far. Researchers like David Choffnes, a co-author of the Northeastern study, argue that regulators need to step in to create clearer rules and give consumers more meaningful control over their personal information. Following the study's revelations, Honda reportedly asked its analytics provider to delete location data it had received and updated its app to stop sending it, showing that manufacturer practices can change under scrutiny.
