Hi Chuck, I replied to your logs. The logs indicate that 9.8.7 *is* correctly processing the malformed location message, so that part is good. My analysis of the rest of your log looks fairly normal, and looks the same as if your device's GPS firmware/hardware is acting flaky at your location. It might behave better outside or in a different location. We're simply reporting the signal strength that the device tells us about. And in the log you sent me, I see the GPS falters twice, but only for 11 seconds (first time) and 2 seconds (2nd time). For the rest of the 6 minutes shown in this log, we're reporting a decent GPS signal.
In my email I requested that you run your test against Google Maps, while driving in areas that have a clear view of the sky. Compare the two, and see if the results aren't acceptable, and more similar.