Carmakers Say They'll Leave CA over New Car Privacy Law [video][12 Mins]
Major car manufacturers warn they may stop selling vehicles in California if the state enacts a new law requiring them to limit data collection practices, arguing the privacy regulations would be too difficult to implement and would raise costs significantly for consumers.
Background
- A new California law (2024) requires carmakers to give owners and independent shops access to vehicle data that modern cars constantly transmit to the manufacturer — everything from location to driving habits.
- Major automakers (Ford, GM, Toyota, Stellantis) say this forces them to expose proprietary systems and trade secrets, and some have threatened to stop selling certain models or leave California entirely.
- California is the largest U.S. auto market (~11% of sales), so a boycott would have huge economic consequences and could create a split between CA-specific and national vehicle designs.
- The fight centers on who truly owns the data a car generates: the person who bought it, or the company that built it.