Yup.
Guess, Google wants to keep it all "in-house" (otherwise, what's the use of a "photo-storage place" if you can't do anything/ link them somewhere, somehow?)
But if the pics don't even show in their own products (Blogger etc) they certainly shot themselves in the foot
(as did Photobucket with those $400/year accounts....it'll be a looong time IF they ever make it back, and it certainly doesn't look like it thus far).
Flickr has also had its ups +downs along the way, the only stable freebie for its entire existence seems to have been Imgur, from what I've read.
SmugMug comes to around A/NZ$100/ year which is pretty reasonable for what they offer (and deliver!).
I'm happy to pay another 50 bux on top per year to be entirely independent and link to my heart's content, without fail or changes, ever.