They've just updated their official blog with the announcement and cite the following reasons:
Personally I think Google should be commended for taking a proactive approach and for trying to make the policy more human readable.
In addition, we’re adding:
- More content to some of our product Help Centers so people will be able to find information about protecting their privacy more easily; and
- A new privacy tools page to the Google Privacy Center. This will mean that our most popular privacy tools are now all in one place.