This is nothing more than a quest for cheap publicity and endorsement of various pressure groups, which promote the self-interests of their funders and staffers under the guise of the "public interest". What they really want is regulation that would let them profit from shakedown lawsuits.
These sorts of assaults on product development freedom need to be nipped in the bud.
Overall this looks like a reasonable extension of existing laws to include new technologies that have come to prominence in the last few years. Do you think the existing law requiring online services to post privacy policies is an assault on product development freedom? Or is it only because they are extending this to mobile that you are losing your freedom to create software products?
And for some reason the AG is always the worst of the bunch. I guess because it's an elected office that puts you in pole position for the governor's chair.