I'll state this in no uncertain terms: this is not acceptable, and you need to stop doing it. It makes sense on your search engine, but adding it to your web browser is very much over the line.

I have read your explanations in good faith and they don't cut it. This behavior cannot continue. Good privacy promises are not based on trust - they're based on not ever handling private data in the first place. If you don't quickly admit your mistake and roll this back, it will jepoardize your entire brand - and rightfully so. If you believe this behavior is okay, then it demonstrates incompetence; if you don't believe this behavior is okay but do it anyway, it demonstrates malice.

This is the one thing you Should Not Have Done.