privacy 101, this scare is not new
any service that tracks gps data can deduce a lot of things, let alone address. it gets even more deadlier when that data can be correlated to the movements of others. think this data is logged compulsorily for some years by telecom operators, not sure about the details.
the problem is not machines mining data, that's a really powerful tool and can be put to use for many beneficial things, including crime prevention. What is wrong is the commercial exploitation of such data.
for re-enforcement, go through any of Richard Stallman's interviews where he talks about privacy. here, is one >
Richard Stallman: ‘Apple has tightest digital handcuffs in history’ -- New Internationalist
But most people are leaving themselves totally wide open to surveillance on the internet. And what really gets me is when people pressure their friends into using Facebook.
and another
*www.networkworld.com/news/2011/031411-richard-stallman.html?hpg1=bn
"I don't have a cell phone. I won't carry a cell phone," says Stallman, founder of the free software movement and creator of the GNU operating system. "It's Stalin's dream. Cell phones are tools of Big Brother. I'm not going to carry a tracking device that records where I go all the time, and I'm not going to carry a surveillance device that can be turned on to eavesdrop."
point is if you are indulging in any nefarious activities at dubious locations, leave behind your phone at a secure location

not seen any spy films?