The Google bashing is getting old. This is yet more evidence that you should be aware of how one service will use the information you give it, and that you should be careful with what information you enter on the internet, no matter what...
Most people will see the headline and say, "Well, I'm ok with the service. Not a problem I can anticipate." It's only when more imaginative, knowledgeable people, who are also able prognosticate and clearly articulate the possible consequences, have this dialog that there is a chance it will catch peoples' attention.
Even then, the odds are long and grim, but the discussion is necessary. Otherwise, most people just don't get it.
Many people on this thread are saying things to the effect of "I lost all trust in Google." I honestly wonder how people could ever fully "trust" them, in the sense that they are not going to look out for their own bottom line- or, more accurately, look out for things that will increase the value of their stock. And that usually means opening up new revenue streams. And for them, that means more ways to get advertisers interested in advertising with them. And that means, of course, giving them more access to their dear users.
It's the same with any public company, but especially high-profile ones who are likely to attract 'active' investors. Since companies don't usually pay dividends on their stocks anymore, the only way the piece of paper that I paid upwards of $1200 for is to convince some idiot to give me $1300 for it. Otherwise, I want someone to be fired because they've cost me a lot of money.
Gmail started April 2004.
Facebook started February 2004.
At which time Myspace was a year old.
Let's not be disingenuous and throw around nonsensical claims like "when you signed up for an email account a decade before "social network" was even a thing"...
-"social network" is in quotes because while the social networks themselves have been around for awhile, they only became a buzzword and the kind of thing Google would try to clumsily emulate in recent years.