Bill Gates' encounter with Google CEO Eric Schmidt

Microsoft Chairman Bill Gates and Google CEO Eric Schmidt had an awkward encounter this morning at the Sun Valley mogulfest — and after Google's plan to launch Chrome OS to Netbooks and then hopefully to PCs,  Google hopes to challenge Microsoft’s dominant Windows operating system.

Associated Press

Google CEO Eric Schmidt, left, jokes with Microsoft Chairman Bill Gates in Sun Valley, Idaho, shortly after Google announced plans to develop an operating system that will compete with Microsoft’s Windows.

Mr. Gates and his former lieutenant Nathan Myhrvold were walking out of the morning session when two reporters, including this one, asked Mr. Gates for a comment on the new Google operating system, Chrome OS.

“No comment,” Gates replied, while walking out the door.

From behind the reporters, Mr. Schmidt materialized. “It would be better if you don’t make that comment,” he said as he came forward to shake hands with Mr. Gates.

The two laughed, shook hands and walked into the private lunch area together.