The important news will rank higher than less important ones and they become a standard search result. This is the first step in Google's big plan of integrating every type of content in one index: an universal search engine that mixes web pages, images, videos, books, scholar papers, news articles and more.
It will still take some time until the change propagates to all Google's data centers, so you may not see results from Google News displayed as standard results (try to search for news-related queries like Bush, Iraq).
Creative Commons-licensed by rustybrick. More screenshots.
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