Google’s top executives explain the urge to build an operating system

schmidtIn a press conference in Sun Valley, Idaho, Google chief executive Eric Schmidt said tonight that for six years he resisted the urge to build what became the Chrome browser and the operating system.

I had guessed that Schmidt, who has been a foe of Microsoft’s while at Novell and Sun Microsystems, was itching to get into the operating system business so that he could undo Microsoft’s monopoly. But the Wall Street Journal reported that Schmidt said it was the co-founders Sergey Brin and Larry Page who finally convinced him. Schmidt made the remarks at the Allen & Co. conference, where he dined for lunch with rival Bill Gates.

Schmidt said that Google was a small company back when he joined in 2001 and that, having witnessed the browser wars, he didn’t want to do that again. Brin and Page hired some Firefox developers who built a Chrome demo. It turned out to be so good that Schmidt changed his mind. Page said, “I think we just wore you down.”

The winning argument was that they could make computing simpler and faster. Now Schmidt said he believes that Chrome, which launched in September and now has 30 million users, and the Chrome OS, which launches next year as an operating system for netbooks (smaller than laptops), are “game changers.” He said they change the way you think about your computer.

Schmidt and Page took pains to position Chrome as not a direct competitor to Microsoft’s Windows. They believe it will expand the market for netbooks, where Microsoft is a bit player thanks to competition from Linux. (Microsoft’s software often requires beefier processors and memory than are typically used in netbooks).

While Chrome will be free, Schmidt said that Google benefits when people spend more of their life online. Schmidt said he would talk to Apple about recusing himself from discussions of Apple’s operating system, as he did when Apple’s board discussed the iPhone. (Google’s Android software is a direct competitor to the iPhone).

[photo: Flickr, Duncandavidson]

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About the Author, Dean Takahashi

Dean is lead writer for GamesBeat at VentureBeat. He covers video games, security, chips and a variety of other subjects. Dean previously worked at the San Jose Mercury News, the Wall Street Journal, the Red Herring, the Los Angeles Times, the Orange County Register and the Dallas Times Herald. He is the author of two books, Opening the Xbox and the Xbox 360 Uncloaked. Follow him on Twitter at @deantak, and follow VentureBeat on Twitter at @venturebeat.

  • Charbax
    Google OS will work on $100 ARM based laptops. It'll use cloud computing to quickly render even advanced HD video editing and photo or 3D rendering, as long as you have a fast enough Internet connection, even the most intensive computing tasks can be done much faster on the cloud then by using the much more expensive Intel based computer processors. Cheap $100 ARM laptops with Google OS can also come with very powerful DSP and GPU processor chips that can also process locally a bunch of things such as HD video encoding and decoding, 3D games and more advanced stuff like that.
  • Chris
    "Schmidt and Page took pains to position Chrome as not a direct competitor to Microsoft’s Windows. They believe it will expand the market for netbooks, where Microsoft is a bit player thanks to competition from Linux. (Microsoft’s software often requires beefier processors and memory than are typically used in netbooks)."

    Um - isn't the market share for Windows XP on netbooks currently something on the order of 95+%?
  • Charbax
    "Um - isn't the market share for Windows XP on netbooks currently something on the order of 95+%?"

    Those are FUD reports, WinXP only has that type of market share among a very carefully selected amount of brick and mortar retailers within the US.

    The Linux netbook share is much larger among online retailers and in Europe and Asia. The worldwide share of Linux on netbooks is most probably closer to 20%.

    That is also considering that Intel and Microsoft do what they can to discourage the biggest OEMs from doing too much cheap Linux netbook stuff.

    For example, the lowest-end Acer and Asus netbooks with Linux, those Linux netbooks that were reaching prices within $200, are being discontinued by Acer and Asus because of pression by Intel and Microsoft to rather keep their margins higher if they still want the bulk discounts on those Intel processors and Windows XP licences.
  • 1
    Check your facts. Windows has better penetration in netbooks than it does in other kinds of PCs.
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