It isn't recording or storing audio, so laws against audio recording don't apply.
Transcriptions count if you’re using them to intercept and record oral communications between others.
The recording doesn’t have to be audio to violate the Federal Wiretap Act.
That really bothers me. It might be legal for Apple to do this but it's still creepy as fuck.
They're still recording everywhere and sending a transcription to iCloud and they're doing it without consent.
This has the same vibes as those Meta glasses. It's something that people will force on others.