“Computer science has a marketing problem." That's what Larry said. And his presentation was about marketing more than anything. He was trying to sell the world view that works great for his company, and he certainly put his sour grapes on the table.
He talks of "resistance to technological change", which is code for Google Glasses and the glasshole syndrome. He talks of how people should should be more relaxed with their medical records, which is code for Google Health. They had a clear plan how they were going to make money with Google Health (selling user data). The problem was that, on the user side, they had a solution that was in search of an actual need. But Google has made it clear that they're not going to learn that lesson.
You know, I kind of like his idea of a mirror universe where more avant-garde ideas can be tested out, in small scale, in the real-world. He wanted a Burning Man type of environment for new technology. Actually, Eureka (the town from the TV show of the same name) might have been a closer fit (although the reference would have been lesser-known, and is almost synonymous with disaster). Being able to try things out (on the small scale and a limited geography) and work out the problems there is great for allowing a company to iterate on a product without the marketing backlash for failures.
In theory, I'd love to live in that Eureka town. But only if it was about the product and about the science. The only thing Google Health did for me was to convince me that Google's products and services aren't about what they deliver (search, ubiquitous health records). They are about Google's real customers (advertisers, health care industry) and Google's real problem is finding a way to get everyone to jump on board so they can make money. That's what he is saying, in code, when he says "computer science has a marketing problem".