Great question. The blog post announcing it says it’s for netbooks, really, and that the development platform “is the Web”:
Google Chrome OS will run on both x86 as well as ARM chips and we are working with multiple OEMs to bring a number of netbooks to market next year. The software architecture is simple — Google Chrome running within a new windowing system on top of a Linux kernel. For application developers, the web is the platform. All web-based applications will automatically work and new applications can be written using your favorite web technologies. And of course, these apps will run not only on Google Chrome OS, but on any standards-based browser on Windows, Mac and Linux thereby giving developers the largest user base of any platform.
Except that we’re still quite a ways from games of the Web meaning something other than Flash. The kernel is Linux, which could mean that AAA games that run on Linux (all three of them) could show up. Maybe. But I wouldn’t bank on it anytime soon.
Will Flash show up on here? Hard to imagine a Web-centric Netbook or tablet that doesn’t need it, if only for YouTube videos. So perhaps Flash will simply extend its crossplatform dominance one step further.
Who knows is this OS will gain adoption; one thing for sure, though, people will play games on it if it is possible. And the more possible it is, the more adoption it will see.