As a quick reminder, Litl OS is a custom operating system that presents the interface as a stack of cards. These cards are classified in three channels: Blue denotes the “permanent” cards and includes settings. White denotes the web cards, such as Mozilla whilst the black cards are channel headers and can be thought of as widgets (clock, weather etc).

It is the Channel headers that is the focus of the video and shows you can add different ‘cards’, whether they are widget or website based. You can add web cards via the RSS feed of websites, where you are asked to “add (the) channel”. This displays the headline and news article, much like a sexier take on Google Reader.

You also see ‘Card Catalog’ that shows a selection of channel cards to add to your system. When placed in Easel Mode, these feed articles are shown off in full screen in large text that cycles through the latest news. Whilst it all looks nice, whether this simple & clean UI will be enough to entice users to part with $699 is another question.

These cards are classified in three channels: Blue denotes the “permanent” cards and includes settings. White denotes the web cards, such as Mozilla whilst the black cards are channel headers and can be thought of as widgets (clock, weather etc).

Litl has released a video giving a closer look at the card view and also a look at the browser used. The browser is kept very simple and clean with the only buttons I could see for back/forward and Google search. You can check out the video after the break.

Litl has spent a lot of time keeping the packaging to a minimum and it’s nice to see that the box has been designed so it is easy to return the company, in case of a fault. You also get fourteen illustrated cards, which uses images to get across the company’s philosophies. This includes “less is more” and how they to try to “reinvent the wheel” when it comes to user interface. Check out the video after the break.

Hands-on impressions were few and far between last week, but Crunchgear managed to sit down with CEO John Chuang for a thorough overview of the Webbook. The machine isn’t a netbook par se as it only comes with a 2GB flash drive, however this isn’t too much of an issue as Litl targets the Webbook as an Internet consumption device (hence the name). This involves viewing photos, videos or checking the weather etc.

Litl has created custom interfaces for some websites (Weather Channel, Flickr among tem) that are called “web cards”. Most current sites can be turned into these web cards and viewed in Easel mode. It’s an interesting device, however perhaps the biggest hurdle the Litl Webbook faces is the $699 price point. Although, the company is confident enough in its device to offer “a free two-year unconditional ‘satisfaction guaranteed or your money refunded’ warranty.”

Litl have also released a couple of videos that goes into the thoughts behind the engineering and design process of the device. It talks of how they used a larger slow moving fan, rather than smaller faster moving fan to keep ambient noise to a minimum. It also talks of their dilemmas in battery placement, given the hinge’s need to rotate around.

The reason why this device piques my interest is that this company has ambitiously created its own operating system as well as new hardware. It reminds me of Always Innovating’s TouchBook and it’s refreshing to see something new in this segment.

The ‘web’ part of its name is important as the company is defining the product as “an Internet computer for the home”. It is always on with no need to log into an OS. The company promises “high-quality TV-like viewing of online photos and other digital content.”

The website, that was in teaser mode last week, is fully live although I still couldn’t find any hard specifications of this device. What we do know is that it has a 12-inch display and the keyboard can flip right around due to a unique hinge mechanism. This means the Webbook can be propped up when viewing photos or listening to music.

It also has an HDMI-out port to view content on a large screen and there is even an optional remote control for a TV-like experience to change web ‘channels’. A scroll wheel also exists on the device itself that can flick through these channels. The channels announced so far include Flickr, Shutterfly, Weather.com and Facebook.

The litl has no hard drive and can auto-patch itself. The company is so confident in its product that it has a free two-year unconditional “satisfaction guaranteed or your money refunded”. That’s certainly a bold move by the company. The Litl Webbook does cost more than your typical netbook though at $699, although this device does appear to be targeting a different segment. We look forward to more information on this intriguing device going forward.