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That sounds like something Apple would do. I think they should be more upfront about it, and set the default to "disabled" like most other phones with GPS do. While it would be very useful to know where people are and what programs they are using, this should be weighed against the (arguably) more important privacy concern.
It is disabled by default, you have to explicitly enable it when you first use the phone.
Does it explicitly tell you want it's going to be sending on a daily basis?
For the location stuff, yes.
I don't have a pre, but I want to get to the bottom of this. The interwebs is saying that this is enabled by default, not by user prompt. Can you clear up my confusion? It's a propmt when you first turn on the phone? Does the carrier maybe turn it on before sending the phone (for some carriers) causing the confusion?
I think this settles my decision to consider only Android when deciding whether to get a smart phone. If Android is doing something I don't like, well, I'll just change it and recompile. I've said before that if there is any DRM, you don't own it. I think now it may be time to say what GNU and the FSF have been saying all along: if you can't control it, you don't own it. If you can't take it apart and put it back together however you like, you don't own it.