Don't think that Geoff is far off the mark with the comment about 'Homeland Security'.
When Apple make a public statement I guess it will go along the lines of 'We are always seeking to enhance and improve our services to our customers. In no way are we seeking to intrude or invade the private lives of our customers'. It will be words to that effect and probably more.
However, people should see the news report on the BBC this morning. It highlights the fact that in your contract you agree that Apple may track movement history for purposes of blah, blah blah etc.
Nokia G3 (not sure of the model). Not really happy with it either.