Yes, that is a very important point, precisely because people do not want to focus their attention upon it.
Google has gone from a company that does not do any "evil" to a company that tries to make a progressive / positive impact and therefore they feel entitled to collecting more information about their users than they ever thought they would need at the beginning.
In that sense Google is like the government in the original Austrian economics. From utility to expansive progressive force. But with what results this time?
Edit: this reminds me off the "Faceback" app from the movie Good Guys.
Good luck on blocking google, I cannot even turn off javascript for their domain because now their search requires it to function.