Office Live Workspace has been in beta for a while now and I've used it a little. Though I'm not necessarily the target audience as I tend to use Groove for file sharing, I think it's a really great solution for small teams, ad-hoc data transfer needs and lightweight collaboration. I met with the team behind OLW last week and they're pleased with the feedback so far. I hope to see them extend the audience of OLW soon.
When live, the service will be open to anyone with a Windows Live ID and (currently) gives you 500MB of space for Office documents, images, PDF files, custom lists and more.
Check out the 10 video above where Nic and Erik discuss what OLW is all about. It's another Software plus Services solution.
Meantime, what I'd really like to see is a Windows shell extension that allows me to right click and upload stuff direct to Skydrive. Similar to Flickr's uploader, that would be a WAY cool Software plus Services solution that Windows users would bite our hand off for.