Quoted: In a direct challenge to Microsoft, Google announced late Tuesday that it is developing an operating system for PCs based on its Chrome Web browser.
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The operating system, called Chrome OS, is initially intended for use in the tiny, low-cost portable computers known as netbooks,
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The company appears to be positioning the Chrome OS as its preferred operating system for netbooks, though it said competition between the two systems [Chrome OS and Android] would likely drive innovation.
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“All Web-based applications will automatically work and new applications can be written using your favorite Web technologies,” the company said.