From what little I have read about this case so far I agree with Glenn. I haven't seen anything that states that they kept anything other than a list of SSIDs that were heard.
If say they had been gathering data packets to see what kind of data was on the airwaves, then I would side more with Pete.
With that being said, simply seeing what SSIDs are out there is not a crime in the US, at least that is my understanding. If you listen to the content actually being sent across said SSID, or actually use that SSID for your own uses, then you hit more of a legally grey/really dark gray area.
If simply seeing what SSIDs are currently around you is a crime, then I am a criminal, because every time I web browse to CWNP.com on my iPhone it asks what network to connect to.
Don't get me wrong. I'm all against Big Brother, but simply noting SSIDs, I don't see as illegal, much less requiring a Congressional Hearing.
I like Glenn would like to hear someone else's take on what they actually did however.
After reading the news article posted above, I think I may change my mind a bit. Granted this is a news organization and the story is a tad sensationalized, but as a former member of the military (specifically under the Bush administration) I have to admit this worries me a bit.
For a long time I heard Google preaching that they didn't save people's search results and queries. Now they are reporting on the most searched this and the most often viewed that. Now to hear that they are involved in government security and intelligence contracts kinda scares me. Granted that is the minor consipiracy nut inside me.