I agree with most of what you said, but I don't think that banning the sale of user information is a problem for Google or similar business models.

I may not have a problem with Google collecting information about me and using it to target ads. I do have a problem with Google turning around and selling that information to just anyone. I think there is a distinction there that makes a difference. I may trust Google and choose to trust them with my information, but I don't necessarily trust their partners.