My critique of the design is below.

Form: Usually I do not care for 3D logos because they are executed terribly. They have tons of gradients, weird perspectives, and when you remove all the effects, the design fundamentally looks different or is just boring. What makes this design different is that it works in one color. You can take away all the special effects and it will still retain its core essence. I can not stress enough how important that is, because it ensures that the design will work in any and all media.
Function: Because the logo is a symbol and in a square format there are lots of possibilities do display it. It can be used alone, with the text larger to the right, or smaller underneath, all while adjusting to different circumstances and available space. This helps the logo fit seamlessly into any design layout.
Scale: Is not even an issue, as the logo will be recognizable even at 16x16px, or your standard favicon. Even so, if you notice on the Google Wave website they simplified the favicon even further.
Color: This is where Google shines, not because they choose the best looking colors, but because in every version of their brand they use the same ones. Remember consistency and familiarity breeds trust and loyalty in consumers. Besides that I think it was rather tastefully done with subtle gradients.
Uniqueness: Google Wave reminds me of Apple's logo in a few instances. They are both simple and yet have tremendous impact, can be used alone or with text, and are a visual representation of the brand name; which has shown to be an extremely effective technique to retain brands in customer minds.
Your Opinion: I purposefully do not expound further, because I would like to start answering specific questions you have, so that we can all gain a deeper understanding of design and branding. So go ahead and feel free to leave a comment, question, or suggestion.
Also check out: Microsoft's new Bing Logo is an Epic Fail
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