PCWorld has a post up about Google's attempt at location based searching - they've rolled it out for everything, not just for devices that broadcast your location. Its based on your IP address, which can lead to some funny results. Here's what I got for "Coffee Shop" on my first pass:

To be fair, my IP is allocated by Verizon, so their guess is based on wherever Verizon's decision is made. I was able to hand it a zip code, after which it gave me a reasonable set of results. It was funny to be presented with "coffee shop near Maryland" though :)

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