Yes, it does. At the same time it works incredibly well for collaborative editing. But the number of quirks and errors in the product are enough to drive you mad.

And both Word and Google Docs pale in comparison to LaTeX for demanding customization work. But "barely a rich text editor" suffices for the vast universe of documents which barely need rich text.

Except when your target market is captured by network effects and demands a particular file format regardless of how appropriate it is for the material.

The lack of custom styles is really problematic for a very common use case, documentation. I'd rather use Markdown for the purely tech stuff, but I thought I'd use Docs for collaborating with non or less technical people. That just doesn't work, too tedious.