I wonder how this will effect the organic market for misspellings? Even with Google's spell check (post search) there was still a vibrant market for common misspellings.
I used to know a guy who had top rankings for "Amazom" and it banked him some nice affiliate dollars for years.
I'd love to see stats in a few months that show it's effect (or not).
Its called yahoo search suggest. It also broadens by category without being intrusive. The thing I like with search suggest is that it starts giving suggestions only after you dont type anything for few seconds for eg when Im trying to think over the spelling. Google suggest kind of keeps distracting.