Microsoft announced its Office Live Workspace, an answer to all other online office apps like Google Docs. Microsoft Live Workspace is a new feature using this users can access and share their documents online.

Office Live Workspace is an extension to Microsoft’s desktop apps word, excel and powerpoint. This has been optimized for Office 2007 but will work with Office XP, Open Office and Star Office.

According to ZDNet Office Live Workspace will be free for users and allow up to 1,000 documents to share. If you are interested in the service you can add yourself to the beta testing.

Office Live Workspace is not a hosted version of Microsoft Office. Instead, it is — like the rest of the Office Live family — an extension to the client-based version of desktop productivity software. Interestingly, Office Live Workspace isn’t just an extension to Microsoft Office 2007, but also third-party-developed office programs like OpenOffice, StarOffice and more, as well as Office XP, according to Jha.