What Good Is A Smartphone?? What does it do?

I have been waiting for such a long time to be able to get a smartphone. I had to get rid of my Comcast cable in order to get the new BIONIC smartphone and be able to afford the increase in my VerizonWireless Plan.
What hype and television commercials- great aren't they?
All the thousands of cool apps that are available- I'm going to love this; I was so excited.
Then, to top it off, the BIONIC came out- I decided that this one is the one I'm going to get; it's supposed to be way beyond more powerful than any smartphone before it. And the specs were impressive, to say the least.
To get to the point, I learned how to maneuver my way through some of the features. Then I found the Android Apps that are available and got really excited.
EVERY SINGLE app that I began to download informed me (before hand) of the control it would have over my phone and the access of my personal information in the phone.
How did I get sucked into this? Why isn't anybody else concerned about this? 
I JUST DON"T GET IT.
WHO WOULD WANT TO GIVE PERMISSION TO "WHO KNOWS WHO", TO AUTOMATICALLY DIAL NUMBERS FROM YOUR PHONE, GET INTO YOUR CONTACT LIST, MONITOR AND COLLECT INFORMATION OF WHERE YOU GO, COLLECT A LIST OF WHO YOU CALL AND THEIR PHONE NUMBERS, AND SO MUCH OTHER PERSONAL DATA & PRIVATE INFORMATION.
Someone please help me to understand. Is there a firewall or something to stop these Apps from getting into my business? I checked out a few Apps to keep my privacy safe; even THEY want the privileges of sucking whatever information they want out of my phone. So, "What Good Is A Smartphone?"

Scur wrote:
If you want a comprehensive guide about permissions and overall Android safety, alostpacket on Phandroid forums wrote an awesome post.
And realize that to use any app, it needs to interact with your phone in certain ways, thus they need permission to use certain aspects of the Android OS. If you're truly worried about security, just stick with the official Android Marketplace. There are lots of places you can find apps, but AM is the only place that won't void your TOS with Verizon. Just stick with those apps and you'll be fine.
I agree, also another thing to consider the apps on other platforms uses the same access rights but the only diffrence is the Android shows you what is needed to be access...  I learned that people feel more comfirtable when they dont know what is being accessed but in reality because you dont know its being accessed does not change the fact that its being accessed.. 
Like Scur reported the applications have to access areas of software to give you options that users want in the apps.. 
Now I am not saying not to keep a eye on whar is requested because apps can request for access to areas that isnt required.. A wallpaper app doesnt need access to contacts information but it would need web and permission to write to sd card.  This is what is required under the programming end of a app.

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