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This Web site explains a new method for protecting privacy in geolocation data.

Law and common sense hold that people have less 'expectation of privacy' in public places than in their own homes or in similarly nonpublic places. And, using very detailed maps, this method automatically captures this distinction between public and private spaces so that it can give people privacy in nonpublic spaces, while gathering useful, anonymous data on their movements in the public space.

Start Here.