I think the gray grout would like nice with the white subway tile and the gray colored walls. Here are some other pics with similar styles. [traditional kitchen design[(https://www.houzz.com/photos/traditional-kitchen-ideas-phbr1-bp~t_709~s_2107) by seattle architect Paul Moon Design [contemporary kitchen design[(https://www.houzz.com/photos/contemporary-kitchen-ideas-phbr1-bp~t_709~s_2103) by boston architect LDa Architecture & Interiors [traditional kitchen design[(https://www.houzz.com/photos/traditional-kitchen-ideas-phbr1-bp~t_709~s_2107) by san francisco interior designer Amoroso Design [kitchen design[(https://www.houzz.com/photos/kitchen-ideas-phbr0-bp~t_709) by chicago general contractor Oakley Home Builders And I found KA's kitchen where you can get an idea of extending the backsplash to the peninsula (KA hope you don't mind me posting this!)

And now, for a totally wacko idea (offered in the spirit of all-out brainstorming, because you never know where a goofy idea will go.) Your tile guy could use his wet saw to slice the Moroccan tiles into thin strips, and you could build a liner with one or two rows of these strips. Tierra Y Fuego offers a sliced-up version of their Mexican Talavera tiles, to give you a visual of how your tiles might look (after being cut into strips): And Avente Tile now offers a sliced up version of their cement tiles, so it's not completely unheard of: I kind of think this might work best when the entire tile installation is "sliced up". I'm not sure how well it would work when coupled with your lovely installation of the whole tiles over the range (which I certainly would never change.) But, it would carry the exact same colors around the room. I dunno. I just feel better now that I've gotten that idea out of my brain. Since I've cut up tiles for mosaic work, I couldn't quite squash the idea. As I said...just kicking around ideas and brainstorming. ;-)

We tiled up to the ceiling behind the hood. The hood went up and came down a few times in the process but we wanted to make sure the space behind the hood was fully tiled--just in case we ever needed or wanted to replace our hood.

With a granite backsplash, you'll still have a seam so it defeats the purpose stated by that granite guy. Only time I see tile over a 3" granite backsplash is when they are done at different times (change in homeowners or you decide to add tile in the future). Most people getting new counters will just tile from the counter up.