"To provide location-based services on Apple products, Apple and our partners and licensees may collect, use, and share precise location data, including the real-time geographic location of your Apple computer or device. This location data is collected anonymously in a form that does not personally identify you and is used by Apple and our partners and licensees to provide and improve location-based products and services. For example, we may share geographic location with application providers when you opt in to their location services."
"We take privacy extremely seriously...Privacy means people know what they're signing up for."
That said, it would be nice if Apple were more specific on how long its partners are allowed to retain your information.
This process, of passing a user's information to an app like Gowalla, for instance. But by expressing it as part of Apple's explicit privacy information gives location the company's imprimatur. Location is here to stay.