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 Of course there is also the possibility that one of his friends panicked and called the police just in case. 
 If Snapshat was sharing information proactively it gets tricky. If they did it out pure altruism then probably neither they nor the government can be blamed.

If they are forced to then it's really just government outsourcing their mass surveillance.

But maybe it's "voluntary". On one extreme that could be "it would be a shame if we did a tax audit", surveillance by extortion. But it could also be a bribe "dear government, he's some data, oh by the way maybe give us favorable tax treatment". Surveillance as a bribe? Is that a thing? 
 In any case: the wifi thing is a red herring.