Google is a behemoth. Google has become the de facto search tool for the major of web users across the world. Contributing to Google's success has been their good natured slogan of "Don't be evil," which has helped build trust with the company that has amassed an arsenal of information on user behavior and consumer trends using it's various web services from text search to online mapping and GPS targeting.
Much of Google's services are provided for free, and the company is capable of keeping it's services free by offering a very clever but refined advertising product that has been a primary source of great wealth for the search company.
Privacy concerns for the web (more generally) and Google (more specifically) will certainly increase on behalf of the general public in the years to come as security concerns increase and data interoperability expands from technology innovations.
Many have voiced concerns over Google's tremendous and expansive information warehouse that may hold the keys to user and consumer patterns, IP or geo-targeting information and significant security data. We recommend an excellent book on the subject of Google, security and confidential information written by Greg Conti titled Googling Security and published by Addison Wesley.
So, who currently owns the data that is stored in Google's servers?
Google has to-date taken the stance that it does not own your data. "To put it simply, Google does not own your data," the company states in it's Admin Basics policy section of it's website.
Keeping user provided data secure and private is extremely important for Google and is at the core of it's business model to "organize the world's information." Without such user trust and confidence, businesses, advertisers and common users would begin to shy away from using the search giant.
Their ownership agreement outlines three basic concepts:
Source:
Who owns the data that organizations put into Google Apps?
https://www.google.com/support/a/bin/answer.py?answer=106876
Google Privacy:
https://www.google.com/privacypolicy.html