Possibly, but I doubt it.

It seems designed specifically for the netbook (and Google is only supporting specific netbook configurations although others could extend it by writing drivers). I can see it becoming the default Linux distro for really cheap netbooks but I see the Linux netbook losing out to the Win7 netbook.

It's a question of what people are used to (the browser versus Windows) and what people will want to do with their netbook. The netbook seems to be going down the road of being a cheap, light, and slow laptop. If this is how people view it, Win7 will win. For Chrome to win, Google will have to convince people that they can and want to stay in the cloud and that may be too much of a conceptual leap.