I've been waiting for this to happen, I just expected it to come from Google rather than a startup. But here it is, hosted databases similar to what we're seeing come out of Google and Microsoft for their respective documents/spreadsheet apps online.
I've just started playing around with it, I'll post more as I come to conclusions.
-offline access/synchronization is a big need
-security will be an interesting issue...databases generally hold more important information than just term papers