I applied through Google's online web form, and was very surprised to be contacted by a Google recruiter a couple of weeks later -- I had no contacts at the company, and applying via web forms usually doesn't work. After some short communications with the recruiter, I scheduled an on-site interview in New York City.
The best part of the Google interview process is that they tell you exactly what to expect. The recruiter sent me a list of topics and suggested study materials, and the interviews didn't have any questions that weren't covered in that list of topics. I spent about three weeks studying for the interview, and didn't have any surprises when I finally got there.
Google is very good about arranging transportation for the interviews. They covered all costs for me to fly to NYC and spend one night before my interview. Google paid for airfare and hotel directly, and reimbursement for meals and public transit was quick and easy.
After the in-person interviews, there were two stages of hiring committees. (I heard about this from my recruiter, but didn't have any contact with the committees beyond my on-site interviews.) During this time, I had phone interviews with several team leaders, trying to figure out where I would best fit. Part of this process was for the Google managers to decide if they wanted me, but it was at least as much for my benefit -- after several of these phone interviews, I picked the team which seemed to be the best fit for me.
Everyone was very friendly, and the entire interview process was smooth and enjoyable.