The only way the privacy issue will be solved is through legislation (or regulation, were the FCC to take a crack at it). Otherwise you're just fighting a highly incentivized system that is already in place and profitable. I can't imagine Google or Facebook sitting idly by and letting some change come about that might very well invalidate their entire business models, so it would take a real large shift in public opinion to get something that wasn't watered down.

I'm of the opinion that the best we could hope for is strong silo protections and the ability to request deletion of our gathered personal information for individual companies, and even that's a stretch. Also, even if we got that, good luck enforcing it on remote entities.