- Few users have the iPhone hooked up to a car charger when in their cars.
- The GPS receiver sucks up power like mad when it's on. A constant connection will drain the battery very quickly.
- The iPhone is also incapable of passively uploading GPS data to a remote source, nor is it capable of running an app in the background. This is to say, your users must keep their iPhone unlocked (disabling auto-sleep) and your app open at all times. This is similarly a large drain on your battery.
The amount of work (buying a car charger, making sure to hook it up, unlock the phone, and open your app, and disable auto-lock) every time the user needs to use the service is just absurd. This has no chance of working as it is.
It's a cool idea, and if we all had devices in our pockets that can, without excessive hackery, sustain a continuous GPS feed to a 3rd-party source, this would actually work. Sadly, the iPhone is not it.