At stake for Microsoft is billions in lost revenue, as vendors who make netbooks, take up the offer of a free Google Chrome OS. Currently they pay around $56 for a Windows licence.
The timing, only a few months before Microsoft rolls out their new Windows 7 operating system is no accident. It is deliberate and designed to rattle Microsoft's cage.
Chrome and their new Google applications, which are designed take on Microsoft Office, could put a big dent in Microsoft revenues if Chrome works and is accepted by business and consumers.
However Google has a big task ahead if they are to be succesful. Many companies and products have tried to take on Microsoft's Windows and failed. Although rival systems such as Linux and Apple's OS X are widely acclaimed, some analysts estimate that Windows and other Microsoft products are used on more than 90 per cent of computers. Microsoft is to release an updated version of its own operating system, Windows 7, in October.
Google has repeatedly stomped on Microsoft's territory. Late last year they launched Google Chrome, a web browser, in competition with Microsoft's Internet Explorer. It has also recently released Android, an operating system for mobile phones, a direct challenger to Microsoft's Windows Mobile, which is used on the majority of smartphones.
The new Google OS comes at a time when consumer habits are changing. People are now using netbooks and notebooks as their primary PC. They want quick boot times, access to online applications that let them write a quick note, calculate a spreadsheet or expenses, as well as a means to manage content and images. They also want easy to use email built into their browser as well as video conferencing and online talk.
Google has that with YouTube and Picasa as well G Mail and Talk and a whole lot more.
