Google is dipping its hand at EVERYTHING I wouldn't be surprised if it would go and compete with a custom cupcake business soon (taste graph + location + social "share my cupcake" potential)
A client gave me an earful just yesterday because I recommended using Google Chrome instead of Internet Explorer; she felt like Google was "too big" and didn't trust them anymore. I tried explaining that Chrome was a safe product anyway, but she wasn't having it.
I don't think this is a widespread problem, but it might not be too far away.
Firefox is the safe alternative here. For years, I've setup users with Firefox, and IETab for those specific (now mostly intranet like Outlook web mail) sites that play better with IE.
Some folks grok Chrome, and that's good... but it's for more savvy/advanced users.
Expect grey cupcakes with lots of whitespace, confusing sprinkles navigation, and you can only talk about them in Google+ (deprecation of mouth as a communication api).
Google sure looks like a company trying to fight too many battles. They are trying so hard to make everyone their enemy that I think they will eventually find themselves without any friends.
I don't think this is a widespread problem, but it might not be too far away.