This isn’t really anything new. A lot of our devices track our location, and we can opt out if we choose. Heck, we are carrying $600 computers with built in microphones, speakers and cameras that can connect wirelessly from just about anywhere. Really.
Either way, iOS 7 tracks your frequent locations, unless you turn this feature off. It’s designed, according to the menu item, to “Allow your iPHone to learn places you frequently visit in order to provide useful location-related information.”
That doesn’t sound much unlike Google Now.
Just go to Settings>Privacy>Location Services>System Services>Frequent Locations. You can turn it off there.