Well, the New York Times reports about a simple PC-offer at Wal-Mart stores, running GOS, the Google Operating System. That is supposed to be a Linux version optimized for Google applications. But the main issue is it, to make yet an other try to release a end-user friendly PC without an operating system from Microsoft. The power behind that try is big: It’s Google combined with the distribution power of Wal-Mart. But even if the offer is a cheap one ($298 without Monitor) to get access to the broad low cost market, the PC will not stand for hardware power. And people with less money not automatically looking for less quality. And still there is to add the price for a monitor. With about $300 you might get a system inclusive Microsoft too.
Anyway, it is an other try to break the Microsoft Operating system dominance. Today you may get much for free, like Star-Office instead MS Office and via internet bunches of free web 2.0 software offers, like photo-sharing or community software. In general you can meanwhile design a home-office PC free of licenses. Although that attempt is a bit lousy, Microsoft (and other license software producers too) should be scared.
Edit ( Nov 14, 2007): Today announced ZDNet that this PC is sold out. That success cries for more. I would guess, other vendors will step in soon.