Google to launch cheap Google PC?

A rumour is floating on the web that Google will soon introduce its own budget PC. According to LA Times the search engine is negotiating with Wal-Mart and other retailers to sell a Google PC.

One of the interesting things is that this PC will not use Microsoft Windows but an operating system created by Google! This is allegedly one of the reasons why this PC will be so cheap.

Not much details are known but analysts speculate Google will soon launch something like a Google Cube, a small hardwarebox which enables consumers to move songs, videos and other digital files between their computers and TV sets. And of course, the Google PC will also feature Internet support.

And that's not the only Google theory out there. Content producers wonder whether Google's push into video search will unravel the economics that make Hollywood hum. If viewers can find and legally download an episode of "Seinfeld" through Google, will that cut into cable and network television's profits?

And what if Google, after equipping cities, starting with San Francisco, with Wi-Fi wireless technology, starts to offer pay-TV service for free?

It's possible Google will unveil this PC on Friday, as Larry Page, the Google co-founder, will give a keynote address at the Consumer Electronics Show in Las Vegas.