Ultimately, you can say the same about any service that provides any sort of voice service, including telco’s that provide mobile and home phone services, whether you’re using “traditional” land lines, VOIP or a wireless device.

Teleco’s record your voicemail by request- who knows how long those recordings stick around after you delete them- and who’s to say they aren’t recording your call for marketing or targeted advertising.

Ultimately, no matter how you’re making a phone call, there is always *at least* one party (likely several) between you and the person you’re calling, all of whom have the ability to capture the call.

Honestly, I’m more worried about the bigger guys (the AT&T, Sprint, Bell, Telus, etc)- they have more to gain from content-base advertising, and are bigger targets for government interests, just because of the sheer volume of calls they do.

However, even with optional recording I still have privacy concerns:
1) What if I decide after a call that I don’t want that history around? Does Fonolo have a purge mechanism? And if they do, how long does it take them to act? How about backups? As we’ve seen elsewhere on the Internet, there is no guarantee this record would ever go away for good.
2) Just because they say they’re not recording the call, how do I know this is actually true? It would make sense to transcribe calls for targeting advertising among other things. Fundamentally, I just don’t like the idea of having a third party in the call between me and whoever I’m calling.
3) The sale problem mentioned in my original post.

It’s provided as a feature, on a call-by-call basis, for you to record all, or parts of a call, for your records.