Geez some people here jump straight to being enraged without a single thought, how about we try looking at this logically? Approximately how many of a Students flight sequences are Solo? Half? So half of their flights are already monitored, thusly no big deal at all. The other half? Do you think the Flight School is going to have someone sit there and monitor every single flight video recording? You can barely get most of them to spring for paying their instructors in the first place! This is a nothing burger, the recordings are going to be there in case they suspect something really odd has occurred and they feel it warrants the extra attention. Personally, I think it's a great idea, Student bangs up an Aircraft, perhaps they come back saying they hit a hairy situation or were asked to call ATC then it allows the Instructors to do their job more efficiently, now instead of trying to sit down and get the Student to try and explain what they missed or didn't know they can go through the recording with them, point out exactly what was missed or done incorrectly and brief them on what to do better next time, you know, like they're literally being paid to do!
To those of you who think that your CVR/FDR is the only data collected on you during your Flights, welcome to the real world, they're collecting all the data on your flights that they possibly can and you seem to be conveniently forgetting the person sitting beside you the entire time, the rest of the crew, all the passengers, ATC and any joe blow at home grabbing the ADSB data and piecing it together for whatever YouTube channel they have.
This all conveniently ignores the fact that if they misused it they'd open themselves up to being taken to court as well.
Honestly though, I expect them to throw this in the bin after a short trial period anyway, it'll probably end up being too expensive to be valuable and not reliable enough either, this is more than likely a company trying to trial their product in the real world and finding someone willing to let them do it for free so figured "Why not".