I was watching the news two nights ago (I just got around to posting this thread), and they told a story of a girl that had been in an accident and became unconscious. With the proper authorization from police authorities, they turned on her iPhone's GPS for the police and located her. The girl was barely clinging to life when they found her. She is currently in stable condition in the hospital. Lesson to be learned for iPhone users: in extreme situations, AT&T does have the ability to turn your "location services" from "off" to "on." I'm assuming they would need a court order and so on and so forth. In this situation, it was perfectly understandable that a person was dying and they needed to find the person due to a life or death situation. I'm not sure if the ACLU is aware of this incident, but it is never the less interesting.
Unless you are running from the police (which 99.99% of us will never be doing), you shouldn't really care. In fact, you should be glad that emergency rescue workers have this ability so that they can locate you if you are in need. I can't really think of a situation in which "big brother" would want to follow YOU. Well, maybe if you sign an AT&T contract and then stop paying your bill...AT&T might

But that wouldn't be big brother since AT&T is a private company and not the government.
Update: Although I have not been able to find a news story yet to link to, I did find a news story that says 911 operators currently [legally] use cell phone tower triangulation to locate every call made from a cell phone to within 300 feet. http://www.themonitor.com/articles/placed-28898-calls-tracks.html "The second phase of the Enhanced 911 rules implemented provides 911 call takers with the cell phone number, the nearest cell phone tower, the caller’s GPS coordinates and an approximate address for the caller." -So apparently, in some states, if your GPS is turned on, then the 911 operators will access it. "'People are moving more to wireless cell phones than house lines,” he said. "It’s crucial to know where they’re coming from, like we can with house lines.' The system can make a difference in situations where seconds count, said Hidalgo County Sheriff Lupe Treviño." If you think about the fact that currently you allow third-party Apps to access your GPS, then it shouldn't be a shock that 911 Operators can. If you are letting the computer programmers at Zillow and Google know where you are, then it shouldn't be a shock for 911 operators to know where you are. Has it occurred to you that an employee at Zillow or Google could know where you are in real time when you use the GPS in the App?
Unless you are running from the police (which 99.99% of us will never be doing), you shouldn't really care. In fact, you should be glad that emergency rescue workers have this ability so that they can locate you if you are in need. I can't really think of a situation in which "big brother" would want to follow YOU. Well, maybe if you sign an AT&T contract and then stop paying your bill...AT&T might
Update: Although I have not been able to find a news story yet to link to, I did find a news story that says 911 operators currently [legally] use cell phone tower triangulation to locate every call made from a cell phone to within 300 feet. http://www.themonitor.com/articles/placed-28898-calls-tracks.html "The second phase of the Enhanced 911 rules implemented provides 911 call takers with the cell phone number, the nearest cell phone tower, the caller’s GPS coordinates and an approximate address for the caller." -So apparently, in some states, if your GPS is turned on, then the 911 operators will access it. "'People are moving more to wireless cell phones than house lines,” he said. "It’s crucial to know where they’re coming from, like we can with house lines.' The system can make a difference in situations where seconds count, said Hidalgo County Sheriff Lupe Treviño." If you think about the fact that currently you allow third-party Apps to access your GPS, then it shouldn't be a shock that 911 Operators can. If you are letting the computer programmers at Zillow and Google know where you are, then it shouldn't be a shock for 911 operators to know where you are. Has it occurred to you that an employee at Zillow or Google could know where you are in real time when you use the GPS in the App?