As long as Google records your browser history by being logged in I don't understand the purpose because it will be avaiable to Government request or by subpoena.
Many advertisers seem to be using IP addresses to target users these days, especially when cookies are blocked.
iCloud Private Relay offers pretty much the same functionality, and in some ways, this is better than many single-hop commercial VPNs, where the VPN operator can trivially correlate ingress and egress data (if not account payment data as well).
I'll not comment on the irony of Google launching this particular proxy feature.
If you turn off chrome sync, they won’t get most of it. And with the removal of third-party cookies, Google’s other primary method of appending to https://myhistory.google.com (showing you the websites where Google has received a logged-in cross-origin ad request) will also be gone.
You don't have to turn off sync. Chrome supports end-to-end encryption for sync data. Set a sync password that is different than your Google account password to enable it. This will disable history sync but everything else will still be synced and unreadable by Google.
