This has been a long-running rumour for several years now, being exacerbated by the release of the Google Chrome browser last year.

From the Google Announcement it appears that the Chrome OS will be a light-weight operating system kernel with the Chrome browser and Google Gears built-in. As such it is obviously targeted at on-line web based applications such as Google’s own Google Docs. With the introduction of Google Gears into more and more applications, enabling offline access and functionality, this becomes even more of a reality, enabling users to continue to work when off-line.

The operating system will probably be aimed at NetBooks initially, but Google are keen to point-out that it will also support desktop solutions as well. Google are planning to have NetBook’s running the OS by the 2nd half of 2010.

The source code for the operating system will be open-source, which can only be good news.

It remains to be seen how, or indeed if Google will seek to monetise this – will it be charged for, ad-supported, or free to use?

This OS is distinctly different from Android and Google is stating that it will offer both to give the consumers choice. Interestingly, Google cite that Android is designed to work on a variety of devices, and it specifically includes NetBook’s in that list.

There will, of course, be instances where the new Google Chrome OS won’t be suited. In particular this will be where local applications need to run that are not web-based, for example, audio/video conversion software and Apple’s iTunes. This could be an area where Google’s Android OS could step-in and fill the gap – subject to the appropriate applications being developed of course.

All in all, an additional choice in the OS market can only be a good thing, and since many NetBook users are primarily web-based, a fast, light-weight and low-cost option for NetBooks could be a winner.

Well, some industrious individuals have gone and hacked the Google Gears installer so that it now works with Firefox 3.5. A word to the wary though – this is not recommended for noobs and the usual caveats around running unauthorised and unsupported code apply.

Check out lifehacker.com for full details.