I wonder why they are using a VM running Debian for Linux applications, as Chrome OS is already Linux (Gentoo) based itself.
Why does the Chrome OS team do anything the Chrome OS team does? They decided the best idea for low-end hardware is to run everything as a web app. They decided to make it practically useless without an Internet connection because clearly no one will use an ultraportable somewhere without Internet access. They decided to develop their own distro mostly from scratch because contributing to an existing project would be…
The problem with Linux on the mainstream is Linux, it has nothing to do with not having a huge brand like Google's nor with marketing, just ask Dell. Linux offers exactly what the enterprise market needs and it is a huge success, far bigger than anyone in the 90s ever imagined. Linux does not offer what the mainstream market demands and no amount of marketing or brand recognition can change that.