Google is not bothered by Apple lawsuit, the best answer would be just deliver more innovation and that what they did today by announcing a new way to perform search on your Android 2.0+ smartphone called Gesture Search.
From Google blog:
Say you want to call your friend Anne. Just open Gesture Search and draw letter “A”, and Gesture Search returns a list of items that have words starting with “A”. If your handwriting isn’t all that neat, that’s okay. If the "A" you draw looks a bit like an "H", as seen in the bottom left corner of the screenshot, "H" results will be brought up as well. If needed, you can also erase a query by crossing it horizontally: left to right erases the entire query, and right to left removes the last letter or space in the query. Now you can either scroll down the list to find Anne or write more letters to refine the search.
To download Gesture Search, search for it in Android Market.
