It very likely asks the location permission because it wants to scan Bluetooth devices. Scanning Bluetooth devices can be useful to detect the speaker, but it's also often used to track user locations especially indoor where the GPS doesn't work or is not precise enough.
You can place Bluetooth emitter beacons around an area and by scanning the Bluetooth devices on the smartphone and some triangulation, you know precisely where the smartphone is.
By the way even Apple, which is not that privacy friendly, sells such Bluetooth beacons to track peoples' location. https://en.m.wikipedia.org/wiki/IBeacon
This technology can have good use too, in retirement homes or hospitals for example. But it's mostly used to know where you are in a mall.