The point is that the cost of using this service is what i consider too high for what the TOS requires. I don't agree with it. They're requiring access and use of user personal data whenever they want (aside from the fact that it's just for ads). And, when you get rid of your google drive account, they keep what of yours they used.
It's not exactly good form to go up to people and say, "hey, can i have access to and use, and even keep some of your stuff for x purpose". When it's someone who doesn't know you personally asking you this, it's offensive and insulting; i find it an unethical practice. It always serves to make the person asking look bad. I think it's not a bright idea to trust a person who asks that question.
It's the fact that google went beyond asking and made it a requirement for one of their services. Who cares what they use the data for. It's blatantly obvious that they want to mine user data. I think google could have come up with something different for users of the service to contribute back to it aside from asking to pony up money or what the TOS currently says.
As far as google goes for abusing the power behind what they use the data stored on google drive for. That probably won't happen. My point with that is that it's not exactly unheard of for big business and companies to do things behind closed doors and abuse of policy, or not even following policy. Google is a lot smarter and friendlier in general.
There's encrypt and upload like i mentioned earlier in my first post in this thread of course. But, as far as that goes. Why would anyone want to use a third party service for storage? The best things i can think of is convenience, need, and immediacy of need. No one would need to encrypt everything. Most likely what would be encrypted is stuff that no one would want anybody else seeing (or certain others with the password...meant for designated eyes). But, i don't see google trying to crack encrypted files.
I hope this helps?