Apple has officially answered some of the frequently asked questions about location tracking done by the iPhone. The company mentions that the iPhone does not track user location, and has no plans of doing so. Apple has also announced that it will soon be releasing a software update for the iPhone that will fix the location tracking issue. At times, even when “location services” is turned off in settings, iPhone continues to update its Wi-Fi and cell tower data from Apple’s crowd-sourced database. This is a bug, and Apple is working to fix it.
7. When I turn off Location Services, why does my iPhone sometimes continue updating its Wi-Fi and cell tower data from Apple’s crowd-sourced database?
It shouldn’t. This is a bug, which we plan to fix shortly (see Software Update section below).
The next software update will include –
Sometime in the next few weeks Apple will release a free iOS software update that:
reduces the size of the crowd-sourced Wi-Fi hotspot and cell tower database cached on the iPhone,
ceases backing up this cache, and
deletes this cache entirely when Location Services is turned off.
In the next major iOS software release the cache will also be encrypted on the iPhone.