This is neither good news nor bad news.
They're not talking about a copyright reform. They're not saying how they will distribute the still-in-copyright books, they're just talking about mass-scale digitization.
What matters is the final result, and if Google is the only one to digitize but at the end offers 75 millions of out-of-print books affordable DRM-free, there's no reason to zeal for competition in this task.
And people knowing Google and Reding should be inclined to trust Google more than Reding