The Tool Bar, when the Advanced Features are activated, tracks all sites you have have visited regardless of whether you use the tool bar to search for them. Each toolbar has it's own unique id and sends data to Google about what sites you have viewed.

My Sources and References:

• PC Mag
• ZD Net
• Clickstoday.com

1. In general terms the toolbar is spyware. It tracks all you do and reports this information to google. Google keeps this information to "learn about you". Google then uses this information to serve you ads and popups.


2. Google toolbar automatically updates itself whenever it wants. It doesn't even ask you if you want to install the updates. Google basically has full access to install whatever it wants on your computer. This information is in it's privacy policy, and since Google discloses this and if you accepted, it is "legal".


3. This link will help you maintain privacy while using the google toolbar. But it doesn't allow you to shut off the automatic update feature.