Hey Tony, great question! When two geo-miners interact, they go through the bound witness protocol. In short, this requires the two parties to be able to send data between each other (see white and yellow paper for more info). In the first phase of the XYO network, most of these miners will be communicating via bluetooth. So early on, yes (for the most part), you need to be within bluetooth range to provide location verification. However, there is no reason that geo-miners will be limited to bluetooth communications in the future.
With that said, this does not imply that you will not be able to mine XYO cryptocurrency in a remote area. With less people around you, there will be less utilized data produced - true. However, with less people, there is also less competition for having data utilized. Thus, in a secluded area, rewards will be less frequent, but also divided amongst fewer people.
We also have other really cool solutions in the works for things like this. Definitely keep your eyes on the things to come!