Google is adding a new feature to Docs by allowing users to upload more files and bigger sizes. Up until the last year, we're all limited to what we can upload.
Soon, Docs users can store up to 1GB of data for free. Google's hope is that this will facilitate file sharing and collaboration. I imagine Google will allow users to increase the size of the storage through added paid service or Google will simple allow uesrs to use up their e-mail allotted storage space.
After all, 1GB is hardly enough. I get 2GB with Dropbox. Google also imposes 250MB limit per file upload.
This is a part of Google's vast cloud computing strategy as well as what they've got planned for the Chrome and Android OS. Safe bet is that Android and Chrome OS will eventually merge into a singular OS for mobile devices like phones, slates, and netbooks.
Alternatively, there are other online storages that are available. I'll get into that at a later time but Dropbox quickly comes to mind as I've been using it for a better part of a year now.
Also, if you're a MobileMe user, you already know you get quite a bit of space with iDisk from Apple.
And if you're a Windows user, give Microsoft's SkyDrive a try if you like 25GB of free storage.
More at Arstechnica.