I’m behind on seeing the technical details of this one, but from what I’ve seen it seems like a good solution for a small problem. I wouldn’t let this replace a full-fledged laptop any day, but this isn’t for that.

The open-source nature of Chrome does for notebooks the same thing Android has done for smartphones – make them more affordable and easily accessible to the masses.

The Chrome OS is more suited towards quick netbooks, nothing you’d do any long-term or serious production work on, but very possibly a controller for other devices in your home (see: The internet of things), and for now, a way to access your work, and browse the web.

Google doesn’t develop software packages for the desktop, they create web apps for access anywhere. The local storage is just an offline cache (like Google Gears on steroids). They’re offering an OS that suits them perfectly, and encourages others to follow their SAAS (Software-As-A-Service) model. If they can make sure the competition is following this same SAAS path (by making netbooks based on Chrome a widely available and cheap option, as well as free for manufacturers), they can continue to develop their own software with an advantage.

They are insuring the stability and safety of the Web as a platform by offering Chrome OS, and making it a viable alternative to other netbook-type OS products out there.

Of course, it’s tightly integrated into Google’s services and offerings, but you can’t develop OS’s without having a way to make some money off of it in the long run. This is a step in ensuring they stay relevant and homogenous in a future that doesn’t rely on traditional search as much as it has in the past.

Update: I downloaded an early preview and tested it out. I stand by my previous thoughts. I think what I was trying to say in the post is that this will ultimately bring the cost of netbooks down to where they are a commodity. Think $100 netbook you use to control a couple of things around the house and check Gmail and Facebook.