Maybe as tech's we should take notes on this. Windows exploded onto the scene by coming on new machines most people owned a copy of windows thinking that was the computer (and still do). But if google get it right we could see a lot of machines appear on the market running this thing and they teaming up with some pretty big names (list of twelve Google hardware partners. Google is working with Acer, Asus, Freescale, Hewlett-Packard, Lenovo, Qualcomm, Texas Instruments, and Toshiba on commercial devices.)
Essentially they have two competitors and that automaticly puts them in 3rd place. Microsft and Apple both don't want anohter player taking market share and on average the 3rd place does not get traction.
I see something like this being great for Kiosk computers or terminals but more as a gadget.. They have a very rough road ahead... they have to get developers to make software, fight Microsoft and Apple etc..
Still for us... we will still have to fix their device when they can't connect to the internet or something else goes wrong. The cloud just means less information to backup before we fix the OS.