General Motors has now also reached a settlement in California. The company agreed to pay $12.75 million in civil penalties to settle the lawsuit led by Attorney General Rob Bonta on behalf of the people of California, and is banned from selling driving data to consumer reporting agencies for five years.
During the automaker's Tuesday earnings call, CEO Mary Barra highlighted the rapid growth of GM's in-vehicle software and subscription business. In the past nine months, GM's software generated $2 billion, and customers have already signed up for about $5 billion in future subscriptions. The company said it now has 11 million subscribers for its OnStar safety system, up 34% from a year earlier. Another half a million customers are also paying for Super Cruise, its hands-free driver-assistance system.
Ahead of its fourth-quarter and 2025 annual earnings call today, GM announced that its software and subscription business is quickly gaining steam. The automaker said that last year, it recorded $5.4 billion in deferred revenue (meaning unearned revenue over time, through a recurring service) from its various OnStar-related connected services. These include various safety systems, in-car WiFi, access to audio streaming apps and more. GM is projecting deferred revenue from software to rise to $7.5 billion in 2026.
GM's integration with Gemini is the next logical step for the automaker. Vehicles produced by GM brands Buick, Chevrolet, Cadillac, and GMC already have "Google built-in," an operating system that gives drivers access to Google Assistant, Google Maps, and other apps directly from the car's infotainment screen. In 2023, Google began using Google Cloud's Dialogflow chatbot to handle non-emergency OnStar features, including common driver queries like routing and navigation assistance.