[thebiglebrewski]

I think if you can get people to use this and try it, you're going to make a ton of cash. This has been needed for years and doing it within Word sounds to me like the absolute best solution. Get in touch if I can help at all or you're raising!

[TickleSteve]

Word has a diff tool built in. There is also integration with version control (i.e. double click in TortoiseSVN for example brings up a correct diff view of the word doc for 3-way merging).