while I’m sure they won’t act on some of their stupid TOS items, why even state it?
By submitting, posting or displaying the content you give Google a perpetual, irrevocable, worldwide, royalty-free, and non-exclusive license to reproduce, adapt, modify, translate, publish, publicly perform, publicly display and distribute any Content which you submit, post or display on or through, the Services.
(via)
update: looks like Google has heard people complaining