Google has launched a personalization capability for Google News, allowing manipulation of the existing news categories and the creation of specialized categories (e.g., "Local Search"). Search Engine Watch has the full rundown. The new functionality is very useful and it makes me wonder if a "MyGoogle" page (a la MyYahoo!) is in the works.
Google apparently is not getting involved with RSS feeds yet. But I would bet we'll see some sort of MyYahoo!-esque offering at some point in the future.