If you have a cell phone with GPS capability, nothing is really private at all.
Based on your location, google (or even your phone company) could deduce so much about our habits...where we eat, routes we take, time spent in the house, time spent elsewhere, who we call, how often we call...there are mountains of data being collected on each one of us with or without our permission.
There is no secret that the next biggest advertising venue is targeted ads based on your location and habits. That data is just too important for all the Teleco's and IP's to ignore. It is instant feedback and beats the hell out of focus groups. And because that data is so fresh and constantly being updated it is so valuable.
I guess I gave up quite a bit of privacy when I bought the smartphone with the GPS in it. Whenever there is an app update, it warns me that it is gathering information because of my location (via GPS). I either give it permission or it will not install. Otherwise, Google Maps would not work, Google Sky would not know which constellation I am looking at, and weather alerts would not be up to date.
As Tia made comment of our data ending up in someone else's hands, I am sure of that also. I would like to think that such data is not shared but, as I say, it is simply too valuable. In one form or another, that data is going to end up as stats of some measurements provided to their advertisers.
Lately, it does not seem to matter what site I look at or which browser I use, I see ads for the Wacom Cintiq tablet. I was searching for these about a week or so ago. But, honestly, those ads are everywhere now. Obviously my searches are being tracked and instant feedback indicates what ads to present to me.
I'm afraid the days of total privacy are coming to a close and, actually, has already happened.
So if google collected more data on me when the Google Street View vehicle went down the road (I saw my street and house etc...pretty sweet!) then that's okay. I'm not sure there is much more they already don't have.