iPhone OS 2.0 includes live location tracking

A pre-release build of iPhone OS 2.0, currently in the hands of select developers and beta testers, includes a new live location tracking feature that will automatically track the user’s current location in the Maps application on a persistently updating basis. So, for instance, driving down Broadway in New York with an iPhone would result in a constantly moving blue, pulsing ball indicating your current location. This makes the iPhone’s “Locate Me” function feel much more like a real GPS.

At this point the function (along with the entirety of iPhone OS 2.0) is somewhat flaky and slow, but promising.