With YouTube already in the bag, Google is now after Facebook. Although logic would suggest that they already have their own social network in form of Orkut (which they bought as well) so lets build on that. However, Facebook is the definitive online social networking tool it has the right element of UI and concept.
The trend to purchase excellent software/ service bundle is not uncommon. Those who many equate it with web2.0 boom should think again. Microsoft and Yahoo have been masters of purchasing good others developed. So with a company having all star engineers like Google has one would expect a bit more, but then the competitive model of the web has pretty much remained the same and I do realize that economic forces and market drive the technological innovations.
In last three months Google has really moved ahead of any other web based company. They have added software and service to their giant stature and most of them are pretty useful. But when a company becomes as big as Google has, the question that needs to be asked is how far and for how long? I hope Google knows what happened with one other very famous IT Company obsessed with ‘housing items’ 
