Yes, because that is still extra steps that shouldn't be required on a device such as this. Uploading it to Google Docs or uploading it to a website is the same thing, either way I have to take two steps to make one step of progress. We don't have Wi-Fi everywhere, especially in all the secure areas I work in, wireless devices are prohibited.
Lets take Air Video for example, I can convert the video to watch later on when I don't have Wi-Fi, which is great. But it converts it, and then stores in on my desktop. If there was any portion of an open file system, Air Video would be able to convert it and then copy it to my iPad, all one simple easy step. But no, I have to open Air Video, convert the file, connect iPad to iTunes, copy the video into my iTunes library, go to the iPad in iTunes, go to Videos, select the new video to sync, hit sync, and then it can't just copy the video, it's gotta sync the entire iTunes library.
All of that just to watch a simple video file.
In making the iPad a simple to use product, they have actually made it more difficult in many ways.
Here's my point, come early next year, the iPad is going to have some SERIOUS competition from several high quality Android based tablets. On those tablets, all I have to do to watch a video or to bring a file along with me is either plug my tablet into a USB port, or bring along my SD stick or USB stick. No conversions, no going through iTunes, no need for Wi-Fi everywhere I go, just simple.
Do I think any single Android device will outsell the iPad? Nope. But do I think eventually Android tablets will hold the majority of the market? Absolutely. Apple won't change their ways, and that's perfectly fine, if you can live within the limits they set, good for you, I choose not to live within those limits, so I'll be buying an Android tablet (still keeping my iPad though for a few apps not yet available on Android.)