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I remember seeing this in the Dropbox YC application as a possible risk (this is online somewhere, cannot remember the link now). It's interesting that it took Google this long to offer this, seems like a no brainer.
Really an interesting topic and news. Google Docs is little bit confuisng and difficult. Let us hope this Google Drive is simple. As I could understsnd the drag and drop facility will be more easier than the conventional one.
I really feel for all of the smaller file sharing vendors right now. I remember what I felt like reading about the so-called GDrive back in 2009 when I was experimenting with building my own file sharing service.

Mind you, the market for file sharing is already very competitive. It's possible that others might be able to retain their edge by staying small and focusing on the things that have attracted existing users (or by pivoting appropriately) but I have to wonder how they'll remain profitable when pitted against Google's massive delivery platform.

I'm a bit hesitant to having one company have access to so much of my info. I started slowly moving away from Google products.
What the big deal about it? What about Amazon Cloud, Apple, Dropbox? They come late.
Dropbox is so simple and affordable, why use anything else?

Besides, Google is creeping me out with the "targeted ads" thing.