ORWELLIAN NIGHTMARE -- APPLE Installed SECRET "Minority Report" TRACKING TECHNOLOGY in all iPhones Since iPhone 4

Todd Dipaola has seen the future of advertising, and it's a Giant Eagle grocery store in Cleveland.

Dipaola's company, inMarket, will today begin turning on a network of sensors in dozens of grocery stores in Cleveland, Seattle, and San Francisco that will allow companies to beam advertisements to people's smartphones at the exact moment they're standing in aisle six trying to decide which brand of beans to buy.



This scenario has been the dream of retailers and advertisers for years, but it's become more plausible in recent months because of an update to Apple's (AAPL) mobile technology. Many observers see the feature, called iBeacon, as the most important part of iOS7, even though more attention was paid to the radical design changes. The technology allows Apple to pinpoint the location of a smartphone user within a few feet by bouncing signals off of inexpensive sensors constantly on the lookout. Because the technology uses Bluetooth Low Energy to send and receive signals, it can do so in confined spaces like stores without draining phone batteries.
Story: Apple's Location-Tracking iBeacon Is Poised for Use in Retail Sales

For developers and retailers, the enthusiasm about iBeacon is based on targeted advertising; we're talking about Silicon Valley, after all. "The more data you have about the customer, the more you can upsell them," explains Hari Gottipati, an independent tech consultant in Phoenix.

Apps such as Google Maps and FourSquare have long used location data to try to improve the average person's mobile experience. But that could be just the tip of the location iceberg as Bluetooth's latest technology revolutionizes how people interact with everyday objects and places.

With iOS 7, Apple unveiled iBeacon, a feature that uses Bluetooth 4.0, a location based technology. This makes it possible for sensors to detect — within inches — how close a phone is. This is opening the door for groundbreaking services that could enhance the average person's life.

"This might be the next big technology,"said Radius Networks chief executive Marc Wallace. "I think there's a huge opportunity for developers to run with this and develop cool applications." In one early implementation, Radius Networks teamed with the Consumer Electronics Association to launch an iBeacon-powered scavenger hunt at CES this week.
"From an opportunity perspective, I'd say everything is in place, and this thing is poised to be huge. The real question is over the next year there's going to be a lot of experimentation, learning, etc.," said Rob Murphy, vice president of marketing at Swirl, which is working with retailers to capitalize on the potential of iBeacons. "There will be a bunch more success stories. I think there will be some failures along the way."

Although it was only recently introduced as part of the iOS 7 mobile operating system upgrade, Apple's (NASDAQ:AAPL) iBeacon micro-location technology is being increasingly used by various retailers and other businesses. Apple's iBeacon technology uses the Bluetooth Low Energy communications standard to send notifications to mobile devices based on their proximity to a transmitter. The system is ideal for indoor tracking and can pinpoint a user's location far more accurately than GPS can.

Last month, Apple revealed that it has started using its iBeacon micro-location technology at all of its 254 U.S. stores. Macy's (NYSE:M) has also installed "ShopBeacons" that use Apple's iBeacon technology in several of its retail locations, while Major League Baseball is exploring the use of an iBeacon-based navigation system for its stadiums.



However, as the use of this technology spreads, some privacy advocates have raised concerns about the amount of data that is being collected about consumers. Although Apple requires its users to give their permission before the iBeacon system is activated, some advocates are concerned that some consent forms do not adequately explain the amount of data that can be culled from mobile device tracking systems.

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