Connected Vehicles Reshape Transport—but at What Cost to Privacy?

The rise of connected vehicles is transforming global transport. Over 400 million of these data-enabled cars are expected on roads by 2025. Governments are now weighing their benefits against growing security and privacy concerns. Connected vehicles rely on digital technology to improve safety, efficiency, and comfort. They function like IoT devices, using data nodes to transmit information. These cars gather personal details from drivers and passengers, as well as environmental data from their surroundings.

The U.S. sees such vehicles, especially those made in China, as a national security risk. China, in turn, restricts American Teslas in government roles over similar fears. Tesla itself collects extensive data, from charging habits to autopilot performance and diagnostic reports.

Many nations in the Global South lack the resources to develop their own connected vehicles. Meanwhile, driver behaviour data, including hard braking and phone use, is often sold to brokers and shared with insurers. The EU addresses privacy risks through its GDPR, which limits excessive data collection. The expansion of connected vehicles brings both innovation and challenges. Security tensions between major powers highlight the risks of data exposure. Regulations like GDPR aim to balance progress with protection for personal information.