Taken from PC World Magazine, February 2011 Edition

Over the past few years, Web-based office suites have grown from humble roots to become tools that nearly match the flexibility and features of full-blown desktop apps.   Google has led the way in this burgeoning category with its popular Docs family of programs, though rival Zoho offers a broader, easier-to-use, and more sophisticated suite.  But while most online suites have slightly kludgy interfaces that come with their share of quirks, Microsoft’s introduction of Web Apps with Office 2010 offers the familiar, refined interface you already know, directly integrating a desktop suite that outstrips all online competitors.

Most people rely so heavily on their word processors and spreadsheets that it’s difficult to depend on a solely cloud-based system. Microsoft’s version of a cloud offering – Office Web Apps (free at find.pcworld.com/71083) – provides the best of both worlds. Combined with Office, the apps allow you to work in a robust desktop suite as well as to store, access and edit your documents online.

If you’re a Gmail user and your needs are modest, Google Docs (free at docs.google.com) is a highly serviceable secondary choice.  It suffers from quirky formatting and compatibility issues with Microsoft Office files, but its integration with Gmail makes it worth a try.