Maybe I'm used to my slow internet connection, but I've been seeing these tags before the images load for a couple of years now - I thought it was common knowledge.
Besides - both Apple and Google openly reveals that they auto-tag images by allowing you to search your albums on these sites with the tags as a feature.
Things like that often come as a shock to normal users when they actually see or realize the amount of knowledge these companies have. The big silicon valley companies are literally peeping toms that the society yet tolerates.
No one I talked to was surprised. I've always thought it was pretty neat. As a human I tag people in my photos, I let the machine do the boring stuff (this photo contains trees)