Search engine privacy issues usually surround consumer protection from online ads. I think there are other equally important issues. To start with, as a business user of Internet I don’t want anyone (least my competitors) to know what I have been searching for. If you have a web business idea and you search for the feasibility of the idea, whether there are other companies already working on the idea, whether they have built feature X or not, and so on, ……. you might hesitate putting in that search string because the Big Brother search engine company will get access to your idea and guess the specs for free.
It does not take a PHD to figure out that search engines like Google will have to face some regulatory rulings in this regard some time in the future. Regulators could come up with some encryption algorithm that encodes search strings. These encryption gateways could be installed by the ISPs. Search info collected by Google robots on the other hand will also be encrypted by the same algorithm (with Google or the ISP having no access to the algorithm). With this solution, Google will never come to know what you searched for and yet give you the results of your search. The problem is that we cannot monetize the encryption gateway so much if the algorithm is written by the regulators themselves. But at least we stop the possibility of a Big Brother emerging.
If that idea sounds clumsy, there is a more graceful way to partially cheat Google. Have a hosted browser of some kind i.e. your user logs on to your website and clicks to launch your hosted browser within his IE window. You let the user surf Internet within the hosted browser by redirecting all traffic via your web servers. That way Google only sees the IP address of your server as putting in search strings and clicking URLs from search results. So re-direct is the word, and you can also do some topology hiding as an extra level of security for your users so that the re-directs are not traced.
I am still not sure whether I have a solution to the Big Brother problem. But, when I run for the President, I mean, I don’t want people to know about all the embarrassing search strings I entered during my life or the clicks on those dodgy URLs from time to time!! To me, both my ISP as well as Google are a threat to my prospects and ambition!!!!