I’ve been using Writely, the service that became the docs part of Docs & Spreadsheets, since about March of this year and am very impressed with the capabilities of online software. With Writely, I wrote letters, blog posts, reviews, a resume draft, taken notes, and many other documents. Some I saved as .DOC files, some I printed directly from the service – the point is that the service did everything I needed in a basic word processor, and stored the file for me!
Good stuff, if your looking for simple online tools, check this out. But also take a good long look at ZoHo Office, which offers docs, spreadsheets, presentations, collaboration and much more.
Google Blog: Better together: Docs & Spreadsheets