Google is grabbing all the headlines in the tech-nerd world with its announcement of Chrome OS. Initially aimed at the netbook market, this lightweight operating system relies heavily on "cloud computing". Since a great deal of the processing will be executed on the server side, hardware manufacturers should be able to release inexpensive netbooks that are full featured, thanks to a variety of Google products. The announcement has all kinds of implications for consumers and large corporations. I'm going to take a look at how Chrome OS impacts some major players.
Microsoft: The Redmond giant is the most obvious target for Chrome OS. Windows XP is, by far, the most popular operating system for netbooks. Although there are several capable Linux variants available, consumers greatly prefer the familiarity and compatibility of Windows. Chrome OS (which runs on top of a Linux kernel) can succeed where other Linux builds failed. Netbooks using Chrome will presumably feature heavy Gmail, Google Docs, and Google Chrome (the browser) implementation. And since the OS will be free, consumers will be getting netbooks -- with built in office functionality -- that are cheaper than ones using Windows. Currently, the price difference between netbooks using Linux and those using Windows XP is around $50. The projected difference on future, more powerful models using Windows 7 is expected to be even more. Chrome OS gives netbook manufacturers a way to keep prices down as Microsoft continues to raise them.
Intel: Google stated that Chrome will be able to run on ARM processors as well as x86 processors (Intel/AMD/VIA). At this time, Windows 7 will only support the latter. A lot of netbook makers are interested in ARM chips, due to their low power consumption and the performance they delivers per watt, but the lack of a familiar OS is a deal breaker for many. Chrome OS coupled with an ARM chip looks like a winning proposition that should have Intel worried. Remember, Intel chips come at a premium price, next year's netbooks running Chrome with an ARM chip should be cheaper than those using an Intel chip with Windows 7.
On the software side, Intel has been shifting a lot of resources towards its Moblin OS, which is also aimed at the netbook market. While Intel has released a lot of great silicon over the years, it has never been known for its software or use friendliness. Google has a much better reputation in that area. While consumers certainly know both brands, I'd bet that most of them think of Google as the more user-friendly company, thanks to products like Gmail, Picassa, Blogger, Google Docs, Google Maps, and more.
Apple: Industry pundits expect Apple to eventually enter the netbook space. While many are expecting an Apple tablet, they're all sure that at some point in the near future, Apple will release an inexpensive product that will compete with netbooks. Can't you see a more robust version of iPhone OS running on a bigger device? I can, and Chrome OS would definitely be competing with it.
Where it gets really interesting is on the corporate side. Google CEO Eric Schmidt currently sits on Apple's board of directors. When Google was purely about web services, the arrangement made sense. Things look a lot different in 2009 than they did in 2006, when Schmidt was elected to the board. Apple and Google are competing in more and more areas; Chrome OS just adds another log to the fire. Will it be a matter of time before Schmidt is asked to leave Apple's board? Are there too many conflicts of interest now?
Consumers: As Captain Planet said, "The power is yours!" Chrome OS is great for consumers. It will make the netbook market more competitive by giving consumers more choices, which should help keep prices down. Personally, I love the idea of a Chrome OS netbook with a capable ARM processor. I can get a lot of work done with Gmail, Google Docs, and the Chrome browser. Other Google services, like Google Maps and Blogger, are great for general productivity and entertainment. If the retooled Google Voice is good enough to replace Skype, which I rely heavily on, then Chrome OS netbooks will offer me an all-in-one solution for office work, communication, and the countless hours of entertainment I can get from web browsing.
Of course, this is all in theory. While I expect Chrome OS to be a good product, I wonder if it will have the smooth start and hype that Gmail enjoyed or the bumpy path that Android is on. Whatever the case, Google's announcement has made the netbook market terribly interesting...and I'm not just saying that because the Chrome logo looks like a Pokeball.
What do you think of my analysis? Do you think Chrome OS will make a splash in 2010? What companies will it hurt the most? Leave a comment and let me know (please)!
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Comments
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Smartguy81
@Ray
Perhaps. Maybe google should flex some muscle and pull a page from Apple. If the Iphone were on multiple networks it would still be supported by Apple. Apple supports Itunes on multiple platforms. That's how they keep up with QC.
slimmer
Games will rule and M$ has a lock on that.
slimmer
Theres more than enough room for all these OS's
r_pad
@Smartguy81 I don't think it has a choice. You can't expect the company to support a product using a modified version of Chrome OS.
@vismortis So? Chrome OS is for netbooks. In general, they are consumer products, not business products.
@N8R I don't think it has anything to do with the fanboys. It's more about general consumers that happen to know the Google name and brand. As for a dent, it depends how big you're talking about. It can certainly take away a significant amount of dollars from WinTel, potentially.
Whether it's Snapple, Sobe, or Red Bull, the point remains that there's room for success outside of Coke. To pull a quote from Talladega Nights, "Ain't nothin' wrong with silver."
gargolye
I want to my Overlords happy, I will use Chrome OS
The real problem is the Linux base that people do not know how to use.
Smartguy81
@N8R
LOL, your comment reminded me of that great line from "The Rock" (the movie)
The one about what winners do.
N8R
@R Pad
Let me get this right, you're saying that there are enough Google fanboys (face it, these REALLY ARE the only people who are gonna back it) to put a dent in MS fanboys?
Another question, regardless of prior knowledge to Google's trustworthiness, how easy is it for ANYBODY to totally botch a task like this?
I don't see the odds being in good favor, but I do love a good upset. And if you think not being #1 is successful, then you've spent to long out west. Go visit your family, get some ziti, and get back to me.
And everybody knows that Snapple is for sissies and people who complain alot. Sure, Snapple provides a delicious beverage, but Sobe got it all over them.
Who drinks Snapple in public?
Smartguy81
@Vismortis
Damnit, you took my firing points for my next retort to Ray. Though I don't think netbooks are aimed towards business. Any business that does use them would be one that isn't under any federal regulations. I just can't imagine what kind would even want to use them.
Smartguy81
@Ray
Google can't afford to put their name in a computer manufacturer's hands when it comes to tech support. Not with their initial foray into computer OS anyway. Otherwise they lose their distinction from the other companies and share as much of the market as Linux.
I agree with you about the Intel angle. I think Intel needs some serious competition on this front as far as netbook chips are concerned. Intel is the best in the business because AMD pushed them. I do doubt though that simply using a google OS will change whatever chip a computer manufacturer will use.
vismortis
also 90% of the Buisness world is Windows no one wants to rebuild their networks or retrain people on a new OS ( lets not talk about compatability of special or custom software) Home use Netbooks I can see ( XP VS Google) but buisness world or Gaming PC's compatabilty will just be a nightmare this may be more of an Android fight the Gmail
vismortis
One thing that no one has commented on is IF Google Packs TOO much GOOGLE stuff into their OS MS will be the first ones to go running to Congress about Anti Trust Laws ( i dont remember how the MS one went down but i know who will be first to cry foul if Google Crosses the line so the more Google stuff you want the more you can expect to pay.) Ill give the OS a shot but im not the target here my Gaming pc and even my thinkpad X300 can both handel Win 7 ( which so far looks like it will be a good replacement to XP)
r_pad
@N8R I think it's a similar situation to our iPhone/Android discussions we've had in the past. It doesn't have to be about being #1 or even wanting to. You can still have great success being a distant second. Snapple will never do Coke's numbers, but that doesn't mean it's unsuccessful.
@Smartguy81 It depends on the situation really. Google will offer tech support on the builds it delivers. For builds that are customized by others, the support isn't their responsibility. For example, look at HTC's variation of Android. You can't really expect Google to support HTC Sense, even though it's based on Google's code. It's on HTC to provide support for any issues that come up with its spin on Android.
Smartguy81
@Ray
You forgot something in your retort with N8R. Google will now have to offer tech support for an OS which theoretically could be more widespread than their Android OS. I don't see this taking off though. Personally I spend extra money on something to be assured that it will work. Not only am I paying for my product, but peace of mind. Main reason I jumped ship to Apple. Broadband penetration and ISP caps will nullify the benefits and growth of cloud computing, so there again is a thorn in Google's side for Netbook market share. Another point is that Linux is free right now...yet it lags behind Windows in installed user base.
I'm not saying this is a bad thing, I love competition. We as consumers thrive in the market because of it. I also think the market shows that just because something is cheap or free doesn't mean it will do well. This will be very interesting though.
N8R
@ R Pad
You can't argue that because I agree.
I just don't think it's gonna make a difference. The economy can't be used as an excuse when it comes to consumer electronics. They're one of the only things doing well right now. So cheaper is almost out the window (no pun intended).
I think the lemmings are gonna keep falling off the cliff.
edgeofblade
I wasn't sure how I would feel when this day came... but I feel great about it. If they can deliver a capable linux operating system while dispensing with the snarky subculture that normally supports it, maybe it might be usable enough to make a dent in the Microsoft OS market.
Not saying I'm an opponent of Microsoft... I just think everyone deserves a chance to compete. No one, neither Google nor Microsoft, should be penalized for being "too successful". When titans collide, great things happen for customers.
And as long as the users don't form fanboy camps and do their usual hating, it will be a great time to be a geek.
Insipidus7
JingJang said exactly what I was going to say. I clicked on this article to read it (using Chrome) and I forgot that these articles never show up with this browser. Not sure why, but it's really annoying :/
~7~
MajorIshu
Go Google! Ring Microsofts bell! or at least put out a decent OS that doesn't have to be fixed or updated every other day.
darkripper
I think Chrome OS shall rule!
r_pad
@N8R I would argue that there are two things working in Google's favor (in regards to your example). 1) People are familiar with the Google name and products (Gmail primarily and to a lesser extent Docs, Picassa, Blogger, etc.). 2) The current economic conditions make it a good time to sell a cheaper Chrome/ARM netbook (competing with a Windows/Intel netbook).
r_pad
@vinny87 It depends what you mean. By no means do I think that Chrome OS has a snowball's chance in hell of even matching Windows' installed base in netbooks. That said, being a strong alternative could be a lucrative business. As an analogy, look at Firefox. The installed base is still doesn't compare to IE, but it's doing well as #2.
The hacking example you brought up doesn't fly because most consumers aren't as knowledgeable as you are. This is the kind of a customer a Chrome OS netbook can snag -- people that need a cheap PC and know the Google name.
@JingJang I assure you that this will be addressed shortly.
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