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No longer just a rumor, Google is apparently testing GDrive. This is basically an internet hard drive, that allows you to to put some or all (your choice) of your files on the internet for safe keeping.
If your computer crashes or gets stolen, no problem, because GDrive, (code named Platypus) utilizes a software client for Windows, Mac and Linux that keeps files synchronized with Google’s massive infrastructure
Read the entire story and see a screen shot