The Loopt app: A loopy privacy dilema
Loopt has an appealing application that allows you to track your friends and allows them to track you on a graphic map. It's kind of like a GPS-sonar radar that I've just discovered on the iPhone 3G. But, is this application really more like an electronic leash? Will your significant other track you? Will moms and dads track their children this year? Yes, Loopt has an extensive privacy policy that discourages/prohibits kids under 14 years old from using the service, but even one of my most 'public' friends (both online and in off-line) was actually hesitant about installing Loopt on his iPhone 3G. Disclosing your location to a third-party seemed to bother him greatly. The thought is that if you're near a store that is having a special you may get an SMS-text bulletin or coupon. The ultimate direct-marketer's dream once Loopt obtains some demographic information. Your movement patterns are one thing, but add-in your physical location, shopping patterns, travel patterns... You've become a human cookie.
To me, it's not necessarily the third-parties I'd be concerned about, but would disclosing your location to first-parties, i.e. your friends and family, be the best thing? We are all entitled to privacy of course. (Well, penumbras of privacy under the Constitution). Some choose to have Dick Cheney-like undisclosed location privacy, while others have Martha Stewart ankle-tracker privacy. But, balancing privacy requires takes a certain amount of prudence (or sanity perhaps) that will evolve as the line between public and private blurs even more. At least, at this point, Loopt allows you to opt out and only updates your location when the application is launched. What happens then you can't opt out any more? That'll throw all of us for a loop. (Sorry for the pun).
Kevin Ho is a San Francisco attorney and the owner of a brand new iPhone. He'll be writing about the experience for the CNET Blog Network, and is not an employee of CNET. Disclosure. 
My favorite of the four big ones on this is Limbo because you can group people you know into different categories - Faves, Friends, and Contacts - and turn yourself off to these groups. I like the option of being able to choose who you want to be "on" or "off" to.
In the latest comic of GPS George, George realizes that his new location based services (LBS) is secretly tracking him and his friends - even if privacy is turned on.
http://www.bitstrips.com/read.php?comic_id=81856