I'm not sure about the Google part of things...
While it's not new it's becoming more ubiquitous. Basically, using javascript and xml (and php if one wants) they are creating really rich web applications. In some ways, very much like Flash (and Java, etc)...
While the window technically does not refresh, new data can be queried, inserted, edited, etc. and then served up...
I don't really want to even consider how this thing could evolve to help advertisers fill our screen with stuff...