Google Linux Distro: Desktop or Appliance?

This news article on Google Ubuntu, aka Goobuntu only talks about desktop Linux, toolbars, clients, and challenging Microsoft. No mention of a base for running Google search without an appliance or web caching or GFS-based fault-tolerant file servers or any of that other server-room stuff.

Funny how people only think about server-side stuff inside Google (“they’re building their own internet!”) and client-side stuff outside (“they want to be Microsoft!”).

I wonder what is really up.