I don't think they'll put the search: web/UK under the © Google. I think it better as it is

i agree..
it does look like its not organized.. by the way..
how come it appeared only at Google UK? what about Google.com?!

Putting the Web/UK choice under the © does make the localization choice somewhat alienating. However, Google certainly has precedent for making command 'consoles' on a left-hand sidebar: look at gmail, notebook, calendar and so on. From a usability viewpoint, there is definitely some good argument for separating content from comand/control...but I agree that this design needs tweaking.

Another problem with this design is that is doesn't scale well: on my higher-res desktop, the sidebar would be quite far away from the entry box, with lots of white space in between.

I just saw a different variation in my browser (but didn't think quickly enough to take a screen dump)

All the web links (Web, Images, Groups, News, Froogle, Maps, more ») was removed and a link ("more from Google") had been inserted directly below the search box.
When clicked the page would expand (without reloading) and show these links below the search box...

Sigh, I'd love to be able to see that Peter :)

I saw a post yesterday saying Google's new home page design on digg, well, I didn't digg it though...

My Idea (idea not one google have come up with)

Use a Gmail style layout with lots more Google Services, (blog, book, and video searches and some more stuff) to choose from. This would be good as an ALTERNATIVE home page, and not the main one. I think it's almost perfect as it is.

Peter's homepage sounds like it uses JavaScript to show/hide the extra features. Anyone want to create a mockup of what it might have been like?