The story, which first appeared in the LA Times, claimed that Google intends to market a "fully functional" PC running a Google operating system and costing $200.
There was some belief that Google co-founder Larry Page will unveil the "Google PC" during his keynote address at the Consumer Electronics Show in Las Vegas this Friday.
But yesterday Google told Lightreading that it had many PC partners who served their markets exceedingly well and it saw no need to enter that market. A spokesGooglette said that Google would rather partner with such great companies.
While Lightreading saw that as a denial, we are not so sure. There are tremors in the force suggesting that Google is building some form of hardware, with someone, that will get punters cheaply onto the Internet.
One device being suggested is a dumb network computer, or Google 'cube' which will deliver music, video and even VOIP calls from the PC to the televisions, stereos and phones in the home. This would be a long way from the "fully functional" PC suggested by the LA Times, but a fair way towards what its hacks were suggesting.
It could be one of those that we will see at the Consumer Electronics Show on Friday. One thing the LA Times did get wrong was Google was working with Wal-Mart on the deal. Wal-Mart has said that there was "absolutely no truth to the rumor" which is about as categorical denial as you can get.
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