That could definitely be part of it. Outlook isn't dumbed down because it's not primarily aimed at home users. Maybe Gmail makes sense for few people in the office the way Outlook makes sense for few people at home. That doesn't change the fact that the bandwidth/latency profiles are different going to the server room in the building than going out to the internet. But I might see a big improvement over what Gmail is now if Google was being designed for business users.
For starters Google could of kept compatibility with the activesync protocol instead of making calender sync with outlook the horrific monster it is today. Actions like this are just one of the multiple reasons I tell people to not invest invest Google business products.
