The old TOS stated "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."

(Source: http://www.informationweek.com/news/internet/google/showArticle.jhtml?articleID=210500008&subSection=Enterprise+Applications)

To make the story short, many Internet users complaint about the Google Chrome TOS as being evil by asserting ownership over its user's work. Google immediately updated the Terms of Service as remedy.