I don't see why anyone would treat places that they go carrying a smartphone as private data. The phone has the data and cell phone networks (in the US, at least) do collect the data (or used to)[1]. Giving Facebook the data basically just de-anonymizes it since it seems perfectly conceivable and natural that some of the collectors of this data would take it in aggregate, anonymize it, and sell it to companies, if for no other reason than they can make money off of this data. The solution to this kind of tracking (if it bothers one) is to not use a cell phone. And if you don't want facebook to know anything about you then you should not use facebook (instead of or in addition to, not using a cell phone).
[1] https://www.propublica.org/article/cellphone-companies-will-...