I found Google Docs very useful and easy to use.While these applications aren't as complex or comprehensive as MS Office, they have other advantages over traditional software.
The most obvious of these advantages is that the applications aren't tied to a specific computer. There's no need to download and install software on a particular machine. Any computer connected to the Internet can access Google Docs.
I don't think that online tools will replace MS office, because they do not offer everything that MC Office has to offer.
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