Dare Obasanjo aka Carnage4Life :
... This boils down to the corporate ideology that "anything that is good for the Web is good for Google". This means Google is in favor of anything that increases the breadth of the Web which explains why it is investing in O3b networks in an effort intended to bring the Web to 3 billion people in emerging markets. The more people there are using the Web, the more people there are viewing ads on Google's services and on pages of sites that use AdSense and DoubleClick ads. This also means that Google is in favor of moving as much media consumption as possible to the Web. This explains why purchasing YouTube was so important. In addition to purchasing the number one video site on the Web, Google also ensured that it would be on the front line of defending video on the Web given that YouTube was in the cross hairs of various corporate content owners. This focus on expanding the breadth of the Web also explains why they have purchased startups like Zenter, Upstartle and 2Web Technologies to create a Google office suite in an attempt to unseat the current breed of desktop based office productivity software. It explains why they created Gmail as a way to make Web-based email as satisfying or even more satisfying than desktop mail experiences especially when compared to other Webmail offerings at the time. This ideology also explains why the company invests in Android and so on..The media has tried to make it seem like Google spits out a bunch of random, unfocused projects without much thought besides "shipping something cool". However this is far from the case. Google is the most successful company on the Web and it believes that its fortunes are directly tied to the increased usage and evolution of the Web. This means Google has a strong incentive to improve the capabilities of the Web as a delivery vehicle for user experiences. Google had telegraphed their intent to take a more direct role in the evolution of Web technologies in a few ways. For one, the company hired Ian Hickson who had been rallying browser vendors to start improving Web technologies like HTML via the Web Hypertext Applications Technology Working Group (WHAT WG). His success in these efforts since joining Google has led to HTML 5 becoming an official W3C effort. Secondly, Google also heavily supported Firefox both by hiring developers who worked on Firefox full time and via a search affiliate program that brings in millions for the Mozilla corporation [Ed note – Google has a similar deal with Opera]. However the relationship with Firefox clearly was not evolving the Web at a pace that Google found satisfactory as evidenced by the creation of Google Gears a product which Google evangelists have positioned as a bleeding edge HTML 5 implementation even though it implements capabilities not mentioned in HTML 5.
However even with having a seat at the table in defining HTML 5 and being a significant sponsor of the second most popular Web browser, Google still did not have a direct way to push the evolution of the Web directly to users. They were still dependent on the pace of innovation of incumbent browser vendors or figuring out how to distribute a browser plug-in by convincing companies like MySpace to take a dependency on it. This was clearly an uphill battle. Thus creating their own Web browser was inevitable.So why is this significant? It isn't because "Google Chrome is going to replace Windows" or some other such silliness. As it stands now, Google Chrome is a Windows based application whose most interesting features exist in other browsers. A Web browser cannot replace an operating system any more than an automobile can replace an Interstate highway. The significant end user innovation in Google Chrome is that it is bundled with Google Gears. This means that Google Chrome has a mechanism for delivering richer experiences to end users out of the box. Google can now use this as a carrot and a stick approach to convincing browser vendors to do what it wants. Google can make its sites work better together with Chrome + Gears (e.g. YouTube Uploader using Gears) which could lead to lost browser market share for competing browser vendors if this becomes a widespread practice among Google's offerings. Even if Google never does this, the implied threat is now out there.
Chrome will likely force Google's competitors to up their game with regards to adopting newer Web standards and features just to stay competitive. This is similar to what Google did with online mapping and Web mail, and what the Opera browser has been doing by pioneering features like "pr0n mode" and tabbed browsing. So even if Google loses because Chrome doesn't get massively popular, Google still wins because the user experience for browsing the Web has been improved. And at the end of the day, if more people are using the Web because the user experience is better across the board that's just fine for Google. The same way the fact that all online mapping experiences and Web mail experiences have improved across the board is also good for Google.