WSJ.com - Google Has Plan to Act As Hard Drive for Users' Files: "The notes, cited by a number of Web logs, help clarify some of the possible future outlines of Google's competition with Microsoft. According to the notes, Google believes storing users' data centrally will make the computing device -- such as a PC or phone -- less important. That could undercut the advantage that Microsoft has thanks to its dominant Windows operating system, browser software and Office productivity applications. It 'suits our strength vis-a-vis Microsoft,' the Google notes say.
Microsoft is making its own push into services that store user information on the Web, similar to those outlined in the Google notes. But Microsoft executives believe such services will involve a combination of PC software and online services. 'It's extremely unlikely that a solution that pivots too far to one side will be successful,' the company said in a statement."
I'd welcome a "megaserver" service for sync and back-up, and for differently-storage-abled device types, but I'll always want my digital stuff accessible on network-disconnectable devices.
BTW if you search on "Microsoft megaserver," you'll find that Microsoft talked about a "GDrive"-like megaserver strategy during 1998. It was controversial then just like it should be controversial for Google now.