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Comment by names_are_hard

It's a cloud-based product. So processing is a core part of the value proposition - the provider (Google, Microsoft) stores a copy of the data and exposes APIs that the frontends use to download the documents to the users' machines.

The alternative is a product that is not collaborative (no online collaboration, at least) or requires customers to hire a sys admin to install on their own servers and maintain it.

This isn't some nefarious plot by big tech to steal your data, it's the product people want.

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