Google Drive is not an updated version of Google Docs. It's actually an information organization system, and Google Docs now works within it. Basically, Drive is Google's answer to Dropbox.
First, understand the capabilities of Google Docs. It is basically a word processor and cloud storage service hosted by Google.
In Google Docs, you can:
1) import existing files and share or continue to work on them, or
2) create new documents altogether through the Google Docs platform, and
3) if desired, you can also export Google Doc from one file type to another, at least to a limited extent. (Excel to PDF, etc.)
For lack of a better comparison, Google Docs seems to be Google's hybrid, online-based system that is complementary to MS Office, while it also addresses the increasing demand for cloud file storage capabilities by users.
Now comes Google Drive!
In case you are unfamiliar with Dropbox, they provide free and paid cloud storage. You can access your Dropbox account through multiple platforms - online, through a file folder on your computer desktop, through your mobile device(s), and so on.
Google Drive seems to be incorporate the same functional principals, so that you can have your Google Docs, Maps, Calendar, etc. all syncing throughout multiple personal devices. This includes iPhones, Macs, PCs, Androids, and good, old-fashioned website access.
I hope this helps?