Google TV is expanding to the UK, and is entering an increasingly crowded market. So with its first device costing £200 it will be difficult to see how it can compete with the vastly cheaper products like Roku which has support for Netflix and iPlayer.
Google TV will be initially available via the £200 Sony Internet Player (NSZ-GS7) set-top box in July 2012, with the NSZ-GP9 launching later in the year that will add a built-in blu-ray player for around £280.
YouView has a similar price point to Google TV, so it will be interesting to see how this battle plays out, YouView may have an advantage due to promotion from providers like BT and TalkTalk, but Google TV may appeal as its seen to be independent of any single provider.
Content is king.. If they can get ITV/C4/Demand5/SkyGo(or NowTV) and back it up with Netflix and Lovefilm, they'll sell loads. If they sit on their hands and expect everyone to just buy one they'll sell none.
Roku got iPlayer and Netflix then basically nothing else (3rd party apps showing awful low res streams of BBC channels don't count). So in theory, they're wide open to be beaten by google - provided they get the content.