This feels like history repeating. We tried the same thing 10 years ago (remember Clusty?). We got a lot of press with the same kind of silly titles - "Dump Google use Clusty", "Should you ditch Google? Clusty", "Will Clusty be the next Google". We played the privacy card. We had big fans and some significant traffic. But we never managed to make a significant dent in the market. And we grew convinced that nobody could take on Google head on.
At the end we sold it for little money, focused entirely on the enterprise (which had always been our main focus) and sold to IBM for real money.