I have found a similar question about this, and it kind of makes me wonder what this service is. In the description it says you can turn it on and off in the apps if you look for Carrier Location Services. Now I had the request pop up after I updated to android 12. And after I denied the request on reflex I changed my mind and it seems like the app doesn't exist. Not even in the app store. What is that all about? https://youtu.be/SLKc2DLNi4k Not my video, but it shows the pop up and the text if you click on it.
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Related: What is "Carrier Location Service"? (though not yet answered)– Andrew T. ♦Commented Apr 24, 2022 at 2:46
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And after I denied the request on reflex I changed my mind and it seems like the app doesn't exist. Not even in the app store.
It is actually com.coloros.locationproxy. Now i do not know what it does but it is a system app found in Color OS,Realme UI, Funtouch OS, Oxygen OS (Color OS based versions), etc (basically OSs of brands under BBK Electronics)
Now if you want to re-enable it, go to settings> apps> list> check system apps> then search "carrier location services" or if not shown, use this app
