The Office 365 team has just announced the arrival of real-time co-authoring in Office 365, as well as a whole host of new features in the Office Web Apps that will help the education sector collaborate and work together more productively both Online and Offline.

Students and educators can contribute and edit documents simultaneously in the Word Web App, PowerPoint Web App or Excel Web App. New real-time presence helps you see where your co-authors are working in the document so that you don't create conflicts as you edit.

Additionally, the new ability to see changes to text and formatting as they happen will help you and your co-authors stay on the same page as your ideas
develop and evolve.

And because Office Web Apps now save as you go, your team's edits are included and seen as they happen. 

Check out the details here: http://bit.ly/1floWsB

The changes are being rolled out now across Office 365 and SkyDrive, and are part of Office 365's regular upgrade cycle.