Schmidt starts off by announcing a presentation feature for Docs & Spreadsheets. John Battelle points out that this completes the Office suite, so he asks is it now a competitor to MS? Schmidt says no, because it doesn't have the same or all of MS Office's functionality. He says Google D&S is a collaborative, web 2.0 framework - very different to MS Office according to Schmidt. He talks about the transition to a web-based computing framework, which their product is a good example of (for R/WW readers, aka the Web Office!). John persists - nevertheless it is a competitor to MS, he says (to crowd applause). Schmidt persists with his line of not answering that question, saying that D&S will enable people to use productivity products on the web, which he says they will use for different reasons - such as sharing and collaborative features. Schmidt calls this a web 2.0 shift in thinking for productivity.