Companies collect and aggregate location data from millions of people’s phones. Then that data gets sold in a multibillion-dollar market. Jon Keegan and Alfred Ng for The Markup report on who’s doing the collecting and where your data goes:
Once a person’s location data has been collected from an app and it has entered the location data marketplace, it can be sold over and over again, from the data providers to an aggregator that resells data from multiple sources. It could end up in the hands of a “location intelligence” firm that uses the raw data to analyze foot traffic for retail shopping areas and the demographics associated with its visitors. Or with a hedge fund that wants insights on how many people are going to a certain store.
“There are the data aggregators that collect the data from multiple applications and sell in bulk. And then there are analytics companies which buy data either from aggregators or from applications and perform the analytics,” said Tsiounis of Advan Research. “And everybody sells to everybody else.”
It just makes you feel all warm and fuzzy inside.