THEORY. No one can prove it either way until we get our hands on the thing and capture some data as it goes to and from the Internet, but… I imagine Apple’s implementation checks your data locally for relevant information and then uses just that information–wholly removed from its context–for calls out to its servers to perform actions. I still don’t like the idea, myself. Locations in Calendar and Contacts? Absolutely. Locations in e-mails and messages? I don’t think so.