An interesting thought: should we blame Google or should we blame the unencrypted wifi hot spots?
The fact that it's so easy to sniff unencrypted wifis should be more worrying. I mean Google turned over the raw data, I may do the same and intentionally sniff even more data, steal everybody's password and not admit it.
Like the author said, you can punish Google, but that won't make those hotspots more secure. And you never know when will a real evil guy come to the neighborhood.