It doesn't help the way the landmasses are oriented in the southern hemisphere. I think it's a given that the majority of balloons will always be over water. They mentioned a demo in, I think, New Zealand with a handful of balloons. It would be interesting to know how long they'll have for the demo before the balloons are pushed out to sea, and whether the coverage area will be constantly drifting.
The video seemed to show the balloons in a thin band encircling the Earth. Aiming to cover a thin band would seem far likelier to be achievable than spreading them over a broad swath. They also mention using the steering ability to form them in clusters, which is probably what you'd need to solidly cover an area.
People say this as if this was a law of physics. It's not. The company buildings will not spontaneously combust if they try to do something that is not calculated to make optimal short-term profit. They prove, time and again, that they care about awesome/worldchanging more than they care about the money. As someone pointed out in other thread, they even structured their stock options so that grumpy shareholders who care only about short-term profit can't get in the way.
On another site, which was also on HN (http://googleblog.blogspot.com/2013/06/introducing-project-l...), they are more forthcoming about the scale of the challenge and the likelihood of success. I like the tone of that page much more than this one.
It's good to see the hard information, because this site is all marketing.
Each balloon provides coverage to a 40km diameter area. That's a lot of balloons to cover rural Africa. It would help a great deal if the balloons could be made to stay in precise locations, like geostationary satellites. I thought maybe they had solved that problem (which would be amazing). But, I guess not. They said in the video that the balloons would follow the wind all the way around the Earth. Meaning, at any given time, the overwhelming majority of balloons are over the ocean. The difficulty, then, is not merely putting enough balloons up to cover the ground in 40km increments, but covering the ocean as well, in a solid band around the entire Earth. It's not hard to imagine that a stupendous number of balloons would be required to provide any meaningful level of coverage.
I think this is more Google hubris than technical innovation.