Clean Up 404 Errors Automatically With Chrome?

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I just came across this very interesting page on Google Chrome's Privacy Policy. It has a lot of interesting information about when and why data is sent to Google. But the most interesting thing I saw was this statement about missing URLs. 

If you navigate to a URL that does not exist, Chrome may send the URL to Google so we can help you find the URL you were looking for. We may also use this information in an aggregated way to help other web users - e.g. to let them know that the site may be down. Learn more about disabling suggestions on navigation errors.

So if I am reading that correcrly, doesn't it seem like Google is collecting 404 errors through Chrome?

The document is really long, as such I haven't read the whole thing, but its very interesting to see what Chrome shares with the mothership, and what it keeps a secret.