It’s no secret Google is on a mission to provide a complete online office suite of tools and because of this I find them in quite a bit of trouble. The fact is that Google is creating office products with a vast majority of features that have been around for decades and not really improving on the user’s experience. There is hardly a reason to use their applications unless you have a mission critical need of instant file sharing and collaboration, which again appeals more to the business crowd and less to the average consumer.
I would personally never bother with an online application like this. Stand-alone, installed programs work far faster and are there when you are offline. Without a doubt though, it will be interesting to see how popular Googles solution will become.