If you put anything in Google Drive, Google will treat it as if it were their property. Go read their privacy statement before you use Google Drive.
Dropbox Rox
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^More or less:
http://www.google.com/policies/terms/
"Some of our Services allow you to submit content. You retain ownership of any intellectual property rights that you hold in that content. In short, what belongs to you stays yours."
So this isn't facebook which reserves the right to claim your content as theirs.
But they do add:
"We may review content to determine whether it is illegal or violates our policies, and we may remove or refuse to display content that we reasonably believe violates our policies or the law. But that does not necessarily mean that we review content, so please don’t assume that we do."
"When you upload or otherwise submit content to our Services, you give Google (and those we work with) a worldwide license to use, host, store, reproduce, modify, create derivative works (such as those resulting from translations, adaptations or other changes we make so that your content works better with our Services), communicate, publish, publicly perform, publicly display and distribute such content. The rights you grant in this license are for the limited purpose of operating, promoting, and improving our Services, and to develop new ones. This license continues even if you stop using our Services (for example, for a business listing you have added to Google Maps)."
So its a very general disclaimer which is targeted so that they can press charges against you if you have illegal content (like movies and songs you downloaded illegally) and so that their computers can go through your texts to target their ad campaigns better. They cannot take your papers and pics and show it to another person as publicity or as pitching their products (because you retain intellectual property rights and they cannot make money off of your stuff... although you'd prefer they did so that you could sue them for a few million). Look at the ad banners in your gmail... they are already "reading" your e-mails for their ads.
So its not perfect but its not truly horrible.
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"you give Google (and those we work with) a worldwide license to use, host, store, reproduce, modify, create derivative works(...), communicate, publish, publicly perform, publicly display and distribute such content."
Yeah.That's the main reason you get to retain IP ownership. Otherwise, you wouldn't be able to assign Google the right to use your data however it wants.
On the upside, if you write a killer app, back it up to Google drive, and Google patents/distributes said app, Google won't be able to sue you for having written it originally. Not that they wouldn't try to if you decided to market the app yourself after they started distribution, but it's not as if you'd have any success trying to market an app that the congenitally not-evil Google is already distributing.
Then again, sometimes you have to recognize paranoia for what it is.