Nik Cubrilovic on Techcrunch posted on recent innovation from Google Google Pages Released . Google as they always do now put their hands in authoring of webpages as well as in web hosting. (Maybe this move will make Adobe and Microsoft even closer friends:)
With the recent growth and power demonstration of Ajax as a web interactive layer (as well as many other viable tools and methods that enable the buildup of real effective web applications) Google in my opinion should pick up the torch of web development environment and lead it. As a company that states clearly they want to dominate the web, providing a development environment for the platform you wish to dominate is a must (especially in light of competition with Microsoft the undisputable leader in development tools on client/server platforms).
The only thing I expect from a development environment from Google's house is that it will not be bound to their rather centralistic services and nature. Which means, if I want to host my application on my site then please allow me to do so and don't bind me to your servers no matter how simple and fun it is.