Totally agree, hopefully MS will get on the ball one day and improve the editing features. Limited syntax highlighting and an awkward commenting tool are available, but mostly unusable.
Google Spreadsheets is catching up fast (and has even surpassed Excel in quite a few areas), I'm hoping that this motivates MS to make more improvements.
Correct, collaboration is much better (realtime editing/chat/cloud storage and sharing).
Admittedly, Excel has a smoother editing experience (which is the real issue here) and is probably better suited for more resource heavy tasks, but Google Spreadsheets excels [intentional] in the following areas:
Google Spreadsheets is catching up fast (and has even surpassed Excel in quite a few areas), I'm hoping that this motivates MS to make more improvements.