tried out zoho writer. Seems to behave like a local word processor, except the keystroke responsiveness was slower. It is a simple user interface. It also auto-saves your documents for you, which is a great feature.
The use of tools like these could help reduce costs for libraries as well as reducing support overhead. However, there are ramifications to having all your official documents living one someone else's server that would need to be addressed before switching to something like this.
