Through the looking glass: Modern car technologies such as license plate readers and self-driving telemetry systems have been raising privacy concerns for some time now. However, a San Diego company's fleet observation devices might bring car surveillance to a new, uncomfortable level, especially when encountered by unsuspecting renters.

A woman recently took to social media after discovering that her Audi rental car's dashboard contained a camera recording her every move. It also gave verbal reminders to wear a seat belt and avoid unsafe driving behavior.

The end of the video reveals that the camera was built by Lytx, which supplies its surveillance system to rental fleets. The company's YouTube videos advertise the cameras as a safeguard that effectively minimizes distracted driving and other risky behavior.

According to Lytx's website, the cameras record events both in front of and behind the wheel using an AI-powered system that learns to detect when drivers use phones, smoke, eat, drink, follow other vehicles too closely, or ride without seat belts. They can record up to 400 hours of live video feeds and deliver verbal warnings to discourage unsafe driving. Fleet operators can set the cameras to record continuously or only in response to certain triggers.

However, the woman who posted the warning about the camera, calling it "the eye of Sauron," was unaware that the rental car featured one before stepping into it. Lytx's website shows its cameras almost exclusively in cargo trucks, and Audi is not listed among the company's partners. The dealer that lent out the Audi might have installed the camera without the car manufacturer's involvement.

While Lytx's cameras appear to be legal in most US states and drivers are assumed to have consented by driving equipped vehicles, their legal standing regarding privacy remains unclear. Most people probably have a reasonable expectation of privacy while driving, even in a rental car.

Furthermore, the woman in the video noted that she is a medical professional who conducts private conversations with patients while driving. Recording those conversations might constitute a HIPAA violation.

Prior incidents of cars observing their drivers have mostly involved electric vehicles and self-driving cars such as Teslas and Waymos. In 2023, Tesla employees were found to be sharing deeply private and intimate videos captured on owners' vehicles, some of them taken inside garages. More recently, a Waymo car stopped and contacted the police when its occupants fired toy guns from the vehicle. Systems such as Lytx's raise the possibility that similar surveillance measures might be installed in almost any vehicle.