Are Palm really spying on Pre handset owners?

It appears that Palm is keeping tabs on Palm Pre smartphone owners as apparently according to a post on kitenet.net, a Palm Pre user has discovered the handset sends phone info back to Palm.

The information Palm receives is location, what Palm Pre applications the owner uses and for how long and when said applications crash and no notification is sent to the owner that this info is being sent.

Of course Palm states their privacy policy covers this, but the privacy policy doesn’t state why they would want to know which applications are being used or for how long. There is apparently a way to turn off sending this info to Palm but they haven’t clarified how to do so.

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