Google Docs has started including a new feature - the ability to insert drawings into documents, spreadsheets, and presentations. To use this feature, simply go to the Insert menu and click Drawing.

You can then create drawings using lines, free hand scribbles, text labels, pre-made shapes, etc. You can customize properties like size and color for each element. It's not exactly photoshop, but you can so some basic things to make simple drawings easily.
Once you've inserted the image, you can choose to edit it, duplicate it, or resize it right from the document itself:

"The team and technology behind Insert Drawing originally came from the startup Tonic Systems, which Google acquired in 2007," explains Tony Glenning of Google's Drawings Team. "The drawing feature that we've built relies heavily on a relatively new capability in browsers: the ability to render vector graphics."
Google uses the SVG or scalable vector graphics standard in most browsers, and VML or vector markup language in those that don't support SVG. "Only recently has the performance and ubiquity of such technology enabled us to deliver what we hope is a delightful feature," says Glenning. "As browsers continue to improve, we can deliver more and more useful cloud-based functionality."
Google will be adding more features to Insert Drawings in the future. The company already has plans of its own, but as always is calling for additional feedback from users to help improve the service.
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This is a great new feature- thanks
I'm always on the look out for new online tools to help my subscribers and this feature is great.
In less than 5 minutes I created a 4 page slideshow and got it onto my blog. It's not a great presentation but it was easy and will get the message to my readers.
Thanks for telling us about it.