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If you enable the My Location feature by granting a website permission to access location, Toolbar will periodically query Google for your current location. In order to determine your location, Toolbar will send Google the hardware IDs (i.e., MAC addresses) and SSIDs of WiFi access points visible to your machine, the hardware ID (i.e., MAC address) of the nearest connected router, and the signal strengths of nearby access points. If you disable the My Location feature, this information will cease to be sent.
Toolbar does save your last location in the browser's memory so that websites can easily retrieve it.
Seriously, though, you can't imagine how they'd find it useful?
joined:Dec 23, 2009
and got every last piece of data they have on you... what can happen?