Chrome OS: Do More Things That Make Google Money - The UpStream

Chrome OS: Do More Things That Make Google Money

posted Sunday Dec 12, 2010 by Jon Wurm

Chrome OS: Do More Things That Make Google Money

Not much time has passed since Google announced the Chrome Store and unveiled Chrome OS, but on December 10th Google CEO Eric Schmidt announced several updates about Chrome and Chrome OS. He also went on to say that these announcements were some of the most important in his work life. If you would like to read the full blog by Schmidt you can find out more about his history and reasoning behind the future success of Chrome OS.

If you opted out of reading Schmidt's blog post, it can basically be summarized like this. In the 1970s and 1980s there were few new ideas pertaining to computer science. After all "3M" machines (one megapixel, one megahertz, and one megabit) were big in the 80s and that was quite an accomplishment then but still not enough to really do anything by todays standards, or the standards 10 years ago for that matter. Eventually the web came around and like computers in their infancy, the web was only useful as a source of information and couldn't really do much. That was until 1997 when Oracle announced the advent of "the network computer." Which gave rise to the idea of "the cloud" which Google fancies quite a bit. Google also believes that with HTML 5 the web has reached the point where cloud computing is viable.

To find out how Chrome OS is going to make Google even more rich, hit the break.

Chrome OS is perfectly in line with Google's traditional money making methods, which of course, is AdSense. The basic idea is that speed and simplicity will entice users to be online more. Something that Google TV and Instant Search results are working toward. The more time you spend on your computer, the more time you will spend online. Which also means you will perform more searches for Google to put ads in your face. Sundar Pichai, basically the VP of Chrome, had this to say,

They drive a huge shift that benefits our business model. If you use online computers more, watch TV more on computer the time spent keeps going in our favor. Search goes up, and with video the inventory for display ads go up.

The second part is turning the Chrome Store into a Microsoft Office competitor by making a business version of the store available for $50 per year and starting to moving users to cheap Chrome OS laptops. To do this they need to develop some super apps and get developers on-board by incentivising them with monetary gain.

We have to do a lot more in enterprise developer relations, invest more. We don’t want to do it all ourselves, an (enterprise resource planning company, like SAP or some smaller independent) can develop for it without talking to us. We do want them to take advantage of HTML5, though — find ways to work offline, or take advantage of in built notifications. Developer relations are about making sure people understand the deeper implications of something.

Is the web ready to embrace real "cloud computing" or is Google getting ahead of themselves?

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