Google makes data encryption part of the activation process in Android L

Specifically, Google has said that data encryption will be part of the activation process on devices, which effectively makes it standard, and more importantly from a user perspective, something "you won't even have to think about turning it on." Data encryption has long been an option in Android (since Android 3.0 Honeycomb to be exact), but most users didn't know it was there, and those that did might have avoided it because turning it on after setting up your phone would lead to a much longer process, because there is more data that needed to be encrypted. 

Making data encryption standard is also a big thing for anyone worried about the NSA. Google told The Verge that with Android encryption, "keys are not stored off of the device, so they cannot be shared with law enforcement." This means anyone who wants to get at the data on your device would need the correct password, and having physical access to your device would be very helpful. 

Apple is doing the same with iOS 8 and making data encryption standard for all users. 

source: The Washington Post via The Verge