Google announced on their blog:
Over the next few weeks, we’re rolling out the ability to upload all file types to the cloud through Google Docs, giving you one place where you can upload and access your key files online. Because Google Docs now supports files up to 250 MB in size, which is larger than the attachment limit on most email applications, you’ll be able to backup large graphics files, RAW photos, ZIP archives and much more to the cloud. More importantly, instead of carrying a USB drive, you can now use Google Docs as a more convenient option for accessing your files on different computers.
As Boing Boing pointed out, it appears Google is getting into the YouSendIt business. Not that I would do this, but this is quite a handy method for sharing music files.