Chip giant Intel told TG Daily today that it was in cahoots with Google on the Chrome OS project.
A representative confirmed this to us this morning.
He said: "We have been privy to the project for some time and we have worked with Google on a variety of projects, including this one. We welcome Google's move here."
The statement is likely to throw Microsoft into total panic. Intel and Microsoft were always "friends", but some have speculated they've always been enemies.
Intel put its weight behind a light weight operating system for netbooks, based on a Linux kernel, and called Moblin. Some had speculated that the Google move would throw Intel, as well as Microsoft, into disarray.
It seems not.
Now Intel has put its cards on the table, and it must be up to Microsoft to respond to the direct challenge.
Microsoft was unavailable for comment at press time. And could not be contacted for comment.