Google spying on you?

Here's an interesting article about some new technology that Google has in production that will use your computer's internal microphone to listen to sounds in your room, and then use that information to tailor advertising specifically to your tastes. Google says this product is just a showcase for future technology, and isn't currently being used, but the idea that Google can listen to what goes on in my private residence scares the shit out of me.

Here's the link:
http://www.techcrunch.com/2006/06/08/google-research-prototypes-ambient-audio-contextual-content/