Well, it’s only privacy from people who aren’t google, since google still receive all the pings.

It’s also questionable how much it actually helps privacy.

Basically Google made it so it only really works well in busy areas, to protect user’s privacy.

Aggregation by default. This is a first-of-its-kind safety protection that makes unwanted tracking to a private location, like your home, more difficult. By default, the Find My Device network requires multiple nearby Android devices to detect a tag before reporting its location to the tag’s owner. Our research found that the Find My Device network is most valuable in public settings like cafes and airports, where there are likely many devices nearby. By implementing aggregation before showing a tag’s location to its owner, the network can take advantage of its biggest strength – over a billion Android devices that can participate. This helps tag owners find their lost devices in these busier locations while prioritizing safety from unwanted tracking near private locations. In less busy areas, last known location and Nest finding are reliable ways to locate items.

https://security.googleblog.com/2024/04/find-my-device-network-security-privacy-protections.html

You could read the first two paragraphs of the article.