The thing is, Google improves its results THANKS to its privacy invasion.

To understand "poe" as path of exile, it helps to know that you at least once searched for path of exile. After it has seen a few hundreds users do that, it will make the connection.

To know that "poe shavs" refers to the game and not Edgar Alan Poe, it probably had to provide a link to a relevant author's name and to the game's page and watch which links people would more likely click.

There is a chicken and egg here. People want a search engine that can read their minds without invading their privacy, that's a hard problem.