This is cute as a proof of concept, but it needs severe performance improvements if it's intended to replace Launchy. Launchy sits there with 30mb ram used and no cpu used when not in use. This launcher sits there with 170mb ram used, and 1% of a core in constant use.
Why do more people not get annoyed with the inefficiency of JS... its just burning CPU cycles and RAM! Even 30MB is ridiculous for this type of App... back in the DOS days there were similar TSRs using a few KB of RAM.
Of course, you could leave out the images, but you could also just keep using DOS if RAM is a concern :-)