Google IO an API providing web font functionality and a font directory were announced. At this time this service works on all major browsers; Adroid and iPhone are not yet supported.
It is common for Google to start new projects as beta projects. The idea of Google providing font support is something I wished for, not so much for the Latin script but very much for the other scripts.
When you consider that many people in India do not have proper fonts for their languages, it is painfully obvious that it is not about making the web beautiful but that it is about making the web usable. This is where Google can make a world of a difference; they can enable the Internet for those parts of the world where the Internet is still a novelty.