Would You Use a Free Netbook From Google?
Glyn Moody writes "The response to Google's Chromium OS has been rather lukewarm. But suppose it's just part of something much bigger: a netbook computer from Google that would cost absolutely nothing. Because all the apps and data are stored in the cloud, storage requirements would be minimal; screens are getting cheaper, and the emphasis on lean code means that a low-cost processor could be used. Those relatively small hardware costs could then be covered by advertising in the apps — after all, they are just Web pages. Interestingly, Google has not only rolled out advertising to more of its services recently, it has also started running AdSense ads in the desktop application Google Earth. Would you accept a free Google netbook — or is the price you would pay in terms of the company knowing even more about what you do on an hour-by-hour basis just too high?"
As nice as it is to think that advertisements will cover everything, a single user isn't worth a $150+ netbook. Actually single user is worth a lot less for Google and other companies.
Lets say Google gets around $2 CPM on normal searches. That means a single search is worth something like $0.002 for Google. It's going to take lots of searches and ad clicks from every user to even cover the costs of the netbook. And the same users would be doing those searches and ad clicks anyway, so it serves no purpose.
Another thing is that search result advertisements and even ads on gmail are worth more because they can be really targeted. But what do you advertise on a spreadsheet app? Users aren't looking for any info or such - they're working on their spreadsheet.
It's just out of the question that a single user would be worth $150 for Google.
Give us a free netbook at the cost of seeing ads? You're forgetting one thing: Chrome OS is Linux at its heart, and we're a bunch of Linux geeks. We'd have those ads hacked out of it faster than you could say "/etc/hosts.deny".
/* No Comment */