Google Profiles is a Google service that allows people to share information about themselves online. It is free to all Google Account holders. Google account information was not automatically migrated to the service, but can be prefilled.
Google's direction with Google Profiles would mostly to assimilate all Google users into having a profile. Google+ and recent changes to Google Groups are examples; they want a Google Profile (+1 requires one) although the nominal function would not require a Google profile. It is also to compete with Facebook, a rival service with over 500 million members.