Cloud computing is the cornerstone of Chrome OS, as the platform runs entirely on cloud servers and all user data is automatically backed up to the same remote server network.

"The promise of Chrome and Chrome OS is that the devices you give your employees will have a 2-second boot time, that they will be completely disposable, and, of course, the price point is incredibly low," Schmidt said.

When pressed on the price point, Schmidt asked the audience to consider the price of current netbooks (typically between $300 and $400) and then remove the software tax because both Chrome and Android are free. He did not, however give a concrete number.

Schmidt also affirmed that Chrome OS and Android have a "mobile first" focus, stating that mobile devices are the future of how people will access the Internet.

"We operate under the assumption that people will carry mobile devices with them all the time, that these mobile devices will be always connected, (to) one data network or another, for obvious reasons, and that there are applications that we can build or that others can build on top of our platform that will materially make them more productive, better at work, have more fun, (and) be better entertained."

Schmidt stated repeatedly during the interview that, as of this time, Google has no intention of manufacturing mobile devices or netbooks. But the company's recent acquisition of hardware company Agnilux, it's anyone's guess.

Agnilux was formed by former Apple and PA Semi employees, the latter company was behind technology found most recently in Apple's iPad, specifically its A4 processor.