The license is for selling a commercial service to the general public; the underlying activity (following people in public places) is lawful.

It's how much of journalism works: they're labelled "paparazzi" when it's negative-sentiment, or conversely "investigative journalists" when it's positive-sentiment. If you outlaw private citizens observing happenings in public spaces, you outlaw much of journalism. The targets of journalism, practically by definition, do not consent to being observed, analyzed, and reported on ("Journalism is printing something that someone does not want printed. Everything else is public relations"–Orwell).

And certainly the first to be arrested—ironically, if it was entities like Flock you meant to target—would be journalists observing, in public, police and LEO actions. There are a lot of powerful people eager to outlaw that today.

> the underlying activity (following people in public places) is lawful.

Sure... you just can't charge people for the service. What does Flock do again?