As someone who, for privacy and battery life reasons, only turns location service on on my iPhone when needed for a map application, and as someone who practically lives in Google Reader on both desktop and iPhone, the iPhone implementation of Buzz sucks.
I am currently not yet a user of Buzz. Reader, however, is probably my most used mobile site/app on my iPhone. I hope that doesn't have to change. When I'm trying to read my feeds in Reader/Safari, I get interrupted every 5 seconds with a request to turn my location services on.
I consider my most used mobile site/app - Reader - broken.