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Everyone is rambling about GMail and some sort of smart desktop search tool. Since when does that make an OS. Do you really believe you will be using Word/OpenOffice purely as a webapp anytime soon? And does google have a media player, do they have some kind of agenda-software, a wordprocessor? Yes, the search engine does have a calculator, but I'd rather use my local calculator. Hmm, and doing my personal accountancy on the web? No way!
It's all so far fetched if you ask me, and it doesn't make sense. Linux, Windows, Solaris, OSX, all very big local operating systems. We're not going to see this Google OS before 2012 or any other distributed network based OS, if ever.