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I thought it was the Google Toolbar.
I fired my Netscape 7.0 and did the same. In the right-click menu, I found "Web Search" option which again searches for the keyword using Netscape search (results provided by Google?)
What's happening here?
Is it the Google Toolbar?
Is it the browser?
There are lots of great new things in Netscape 7 - if only they could make it so it wasn't such a bloated pig, it'd be a lot more popular.
P.S. I saw the thread on the smaller version, but haven't checked it out, yet...