General Motors (GM) was sued by the state of Texas on Tuesday (13 August) over claims it has spent years misleading customers about how their data was being shared.

The lawsuit alleges that new car owners were put through a “confusing and highly misleading” process which was presented as being for their safety.

However, the process “was no more than a deceptively designed sales flow” in order for GM to take and sell their data, according to the Texas lawsuit. 

Texas Attorney General, Ken Paxton, is seeking a jury trial of at least $10,000 per every car sold in the state since 2015, TechCrunch reported.

In March, GM, Magna and Wipro announced a joint venture to create a sales platform to buy and sell automotive software. 

SDVerse will link buyers and sellers on a digital platform featuring hundreds of automotive software products, the companies said on Tuesday (5 March).

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The new automotive software platform is currently in its development stage. Still, the trio of companies have already promised hundreds of participants from across the industry will be involved. 

According to the companies, SDVerse will run on a subscription fee model and will not charge a fee for selling or buying products. 

IT services giant Wipro said it had invested $5.85m into the platform, equating to a 27% stake.

GM will hold 46%, while supplier Magna will own a 27% stake.

Harmeet Chauhan, global head Wipro Engineering Edge at Wipro, said: “The market for automotive software is expected to nearly double this decade, potentially outpacing the growth of software development talent pools.”