The inability to scale up to large projects is a real problem, but it is the same problem Microsoft Excel had--it ain't a real database. Yet people used it like a database then brought their same incorrect ideas into Access.
The real problem isn't the software; it is the way people try to do collaboration. Groups that get it figured out work well and the software helps, but it cannot drive the collaboration process.
I find Google Apps easier than coordinating stuff thru e-mail which is usually my only alternative.
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