> Where is the need for this product?

An intuitive easy to use WYSIWYG editor is a highly sought afterand demanded product category. Squarespace costs money and is actually (for me) a pretty bad user exp.

Google probably can deliver on this because they are SEO. Even good editors were not semantic. I havent tried this product, but if it is halfway decent it will find market share. If it is perfect it could replace wordpress.

I am pretty competent as a developer and I would use (based on my understanding from the link) this product rather than battle css or compile sass. Plus I can edit the code.

On top of top teir engineering, google has control of SEO & pagerank so maybe they can win where orhers hadnt. No brainer for them.