And they are still surveillance machines. People getting accustomed to smartphones doesn't change their nature. In fact, nowadays as owning a smartphone is unavoidable in many contexts it's much worse than it used to be when they were introduced and an option.
And they are. Look at what NYT articles showed and also how the information collected by the Telcos ended up in the hands of bounty hunters and private investigators.
Information which couldn't have existed without a) wide spread usage b) incentives to turn them all in to surveillance-lite devices