It's not too surprising that Google have decided to release a shortening service. Aside from Google's desire to own the Internet (which I'm not complaining about, I really like the company  ), the recent rise in popularity of microblogging services (particularly the big one: Twitter) opens the market up a little for this type of service.
The fact that Google are doing it probably just means that if this is the kind of thing that you use, you will now have access to (probably) the easiest to use
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"Those who believe in telekinetics, raise my hand."
-Kurt Vonnegut
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