The rumors that Google is developing a browser are not something new, and such an application would be a logical continuation to GMail and Gogle Talk.
But with Firefox and Internet Explorer on the market, is there any room left for a new browser? Probably not, but the Google brand is enough to ensure the success of any application, especially if it's
backed by other products, like Google Desktop or Google Earth (and even Google Talk, whose potential hasn't been tapped yet) which are perfect for browser integration.
A new browser, based on Google's Internet experience and knowledge, could take advantage of the services offered by the search engine as well as Internet Explorer's and Firefox's flaws.
More and more are saying that they've seen entries, like Google 0.X, on some sites' logs, which can considered pre beta versions of a potential browser. In any case, the gbrowser.com domain was taken by Google and it's likely that the search engine giant will give us a present somewhere around Christmas.
For Google, a browser would be another step forward towards a portal, a goal which is definitely pursued by the company.
Google is forced to offer similar products and services whose quality is comparable to its direct competitors, Yahoo and MSN, and the applications launched over the last six months prove that soon we will be talking about the Google portal, not the Google search engine.