On: The clever cryptography behind Apple’s “Find My” feature

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I guess that's true, but mobile device IP addresses cover a pretty wide area so it's not terribly precise.

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But reporting device A and B were in Bluetooth distance to lost device C. Therefore A and B were close together (like a few meters). It’s a huge improvement over A and B were in the same mobile cell.

You can then use the IPs to identify who are A and B.