Yeah, sure, the terms of service probably say that they can do that. That's still in "unconscionable" territory. And courts do not like unconscionable contracts. If it's unconscionable, it's invalid (if I understand the law correctly).
Is this why everybody wants to make appliances with wireless?
Customers are gonna get lost in the sauce and skip right past all of that and toss the packaging.
Which raises in my mind the obvious defense, which is that if you try to put four or five of these devices on your network they'll be too busy interfering with each other for them to actually spy on anything.
Let the wiretaps wiretap the wiretaps. Keeps 'em busy, makes 'em feel like they're doing something important.
> What is my purpose?
You wiretap the wiretaps wiretapping our wiretaps.
> Oh my god.