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The updated Google Docs & Spreadsheets offers folders for organizing documents, along with a few new enhancements.

Google Docs Drops In Folders

Google's love of labels as organization method, especially in Gmail, tends to be a little jarring to people who have become used to folders. Those users will find something of a comfort zone in Google Docs and its newest update.

Folders have been a heavily requested feature for the service. They support drag and drop, just like a desktop interface.

Labels have been converted to folders in Google Docs with this update, as Google seems to have abandoned its attempt to make tagging the default way of organizing documents. This change makes Google Docs more consistent with the way a typical PC works.

Google also enhanced the search feature. It displays relevant docs and spreadsheets as one enters search terms into the form.

Googling Google blogger Garett Rogers complimented the new look and efficiency of the docs list, where these main changes have taken hold. He cited a couple of wish list items for Google Docs, namely a similar interface update for the word processor and spreadsheet, and support for offline functionality.