Yes, google can know what your room looks like. Google could also know literally every place you go, every message you send, every transaction you make through a bank, every website you visit, every photo you take, every person you meet, when you use the bathroom, when you sleep, etc. etc. etc.
Who cares? If you don't like these services, don't use them. Nobody is forcing you to use this device.
Have you, or any of the other people on HN who repeat this ad nauseum, ever considered the possibility that the people running google are actually just hackers who got lucky enough to have the resources to pursue projects that they think are cool?
I mean...what would you do if you had google's resources? If I had google's resources I'd probably be doing exactly what they're doing. Things like trying to improve the broadband situation in the United States, protected rhinos from African poachers, developing cool future-tech like self-driving cars, etc.
If you don't like modernity, stop using modernity. Move to a homestead in the pacific northwest, never use a telephone, never use grid power, grow your own vegetables, grow your own cattle, and keep away from the evil, scary spies at gooooogggllleeee who are trying to...uh...give you better targeted advertisements? Or provide you with better search results?