Chrome: Google Drive is adding an “open with” option to the right-click menu. As you can see in the GIF above, this lets you directly open photos in Photoshop, PDFs in your favourite PDF tool, and any other files for which you have associated apps direct from your web browser.
If your installed program isn’t open, Google Drive will launch it. The update makes it much easier to open files stored on Google Drive anywhere but the web browser.
Here’s the Application Launcher extension, and the instructions from Google:
To get started, install the latest version of the Drive app for Mac or PC (version 1.18) and sync your files. Then, visit Google Drive in your Chrome browser (make sure you’re on the new Google Drive). Finally, right-click on the file and select “Open with” to see a list of compatible applications on your computer that can open it. For example, you can choose to open a PDF file with Adobe Reader, or a .psd with Photoshop, make your edits and save back changes to Drive which will sync across all your devices and other collaborators. If you have any questions about this feature, you can learn more in the Help Center.
Read more at the link below.
Launch desktop applications from Google Drive in Chrome [Google Drive Blog]