I understand that they need your coordinates to provide location based services and advertising but that doesn't explain why they would capture that data and store it long term on the device or transfer it back to your computer. It would probably be more efficient for the phone to close that file and start a new one periodically.

The article I read reported that the archive was being copied from your phone to your computer. This would seem to be pointless unless they want to use or sell that data later for whatever purpose they deem appropriate. The fact that the data isn't even encrypted just pushes the weird factor for me a bit.