DigiTimes reports that according to research firm iSuppli Google is in final stage of launching an online virtual hard drive storage service. The service will allow you to upload files on big G’s servers and they’ll be accessible through your Google account. This kind of service will provide huge respite to people whose hard disks are full with songs, movies and videos. The search giant will provide two kind of service — paid account and free account. Free storage could be as much as 50GB. The research firm also estimates that Google could generate significant returns from this free service by placing advertisements on the storage-service website. According to their estimated about 4.2 million users eventually may employ the Google online storage system and assuming Google collects $50 per user per year in advertisement revenues collected from users of the free version of the system, the revenues potential is about $210 million annually. 

“This would represent a good return for Google,” Krishna Chander, senior analyst, storage systems for iSuppli said. “While a typical HDD supplier makes about an 18% gross margin for a desktop PC-class hard drive, Google could command a gross margin of 75%. This would give Google more than four times the rate of return compared of the HDD suppliers.”