While Word is still the most dominant brand in word processing, it could soon cozy up to WordPerfect or AmiPro in the coffin of software failures. Rather than write about all the things I hate about Word, I decided to write up some ideas that Microsoft could and should use to regain its dominance, scare off those probing aliens and evolve its standing.

1)     THE Windows Default Editor — Notepad and Wordpad felt like a strange way to solve the issue of taking notes in Windows. Notepad is a straight-forward ASCII-style editor with few frills; Wordpad (interestingly sires back to an idea for a mobile app that quickly disappeared during the Windows 95 beta) deals with low-level word processing documents or filtering .doc, rtf and other files. My suggestion? Kill both. From the flames rises a new word pressing program — Word Lite. Free, well-branded and so basic, you’ll probably need something more robust and comprehensive… and yes, Works is dead.

2)     Word App Store — As a professional editor and writer, Microsoft needs to make this happen. Word Lite not only needs a spell checker, a grammar checker, a word count but it also needs professional level tools that require professional-level certification, verification and yes, a probable licensing fee. The Word App Store would offer all these things along with paid apps for AP style, Economist style, Wired style and whatever else an editorial project might require. For freelancers, they could turn these packages on and off as needed for a project. For licensors, this would ensure yearly updates to an active audience (for a fee). Need Word Art, why not buy it for $10 with 100 pieces of clip art? (Hey, if you need hints… check out how Notepad++ does it.)

3)     Word on iPhone, iPad, Android and Windows Mobile – Ballmer already knows that Cloud Computing will probably turn him into former CEO in the Bahamas. Yet, rather than tie a Word user to a platform, bringing the Word brand to every platform not only gives consumers choices, it avoids several potential suits from the FTC.

4)     Ditch the “Smart” code (smart quotes, crazy MS version of XML) – Whenever I get a new install of Office I’m saddled with the task of shutting off Smart Quotes, ordinals and all the other assumedly Smart things that Microsoft already did for us. Seriously stop. Smart Quotes kill scripts, make pages look bad and add time to the dev and edit process. So not smart. And for the few HTML illiterates who rely on “Save to HTML,” Word creates too much needless formatting code that adds time to the Q&A process and the code is usually 50% over what is required to create a web page. And creating new Word formats that don’t work with old formats is just stupid. You rule the land, just stick to the same .doc format and improve the product, don’t confuse the document.

5)     Skins that bring better functionality (or just the old look back) — the latest version of Word offered a new, more confusing view that mostly scrapped the old first level interfaces that users experienced with the product, yet the second and third tier (the real place where most people work had NOT changed at all. The result was new makeup for an old dog.

Assuming that owning Word as a “necessary evil” in order to do business is becoming less of a requirement and more of an elite level of user, Microsoft has to imagine what the future of Word will be. On its current tract, Word will not survive in the face of challenge unless Microsoft decides to do something drastic. With Adobe’s Acrobat becoming the default format for digital documentation, Word files are becoming less and less common. If Adobe were to create a simple word processor that saved files in a modifiable PDF format, the Word team could just kiss their desktops goodbye.

Yet, I know Microsoft. It has several of the leading minds in software. Microsoft could win again, if it tries.

Microsoft needs to come back. Here’s what it should do to start:

1)      Release a handheld gaming device that isn’t named Zune. As the iPhone proved, there can be more than one dominant player in the handheld market. Release a device with the same power as an iPhone but with a 3D graphics chip that makes games look Xbox 360 hot. Of course, make the device compatible with Xbox 360, Natal and add in major benefits for those who own both (faster leveling up for characters, special unlocks, etc. to start).

2)      Make DirectX open. While Microsoft’s gaming API really is a great piece of work, it only works on Windows machines, the newest version only works in Vista/7 and an older variant works on Xbox 360. And that’s the issue. Make it open and see if someone can port the API to Linux, Apple and Android machines. Of course, controlling the purchasing methods and security here would be key for Microsoft’s revenue stream but making sales on volume is better than building higher walls around the walled garden.

3)      Kill Games for Windows because it never worked. Seriously, it was a confusing marketing term that never caught on. Kill it and be better for it.

4)      Work with a TV manufacturer to create touchscreen TVs. I’ve played with Microsoft’s Surface concept and it really is amazing when you play. Now they need to get it out of the museum and into classrooms and homes.

5)      Buy TiVo. I love TiVo for their nice interface and so many other things that no other DVR UI has. Yet, TiVo lovers aren’t so hot for the new TiVo Premiere boxes which feel like more upsell than functionality. Microsoft includes TiVo-like software on nearly Windows machine, software that actually is good and it plays well with both my PS3 and Xbox 360. Of course, Microsoft needs to give TiVo some autonomy to create new upgrades. With Microsoft’s marketing muscle, and the option of releasing a TiVo/Xbox 360 hybrid, would be a worthy merger.

6)      Kill Windows Mobile. Seriously. I only have a single friend who uses Windows Mobile and he loves it. Interestingly, he works with Microsoft.

7)      Give away a million Xbox 360x units. The old box is flawed and many of my friends are on their 5th refurbished Xbox 360 after hitting the Red Ring of death. Solution: Come up with a better design, shrink the size down and give out a million of those to players who have had countless issue. Costly, yes. But it’s a great way to sow the seeds of respect and Microsoft’s gaming future.

8)      Make Zune the new Windows Mobile, cut the licensing rates and go more in the way of Kin. I like the Kin concept but it’s a bit weak out of the gate. Still, it’s more consumer focused than MS has been in years past so I think that there’s a great growth opportunity here.

9)      Invest heavily in the upcoming Cloud Gaming industry. Ideas like Gaikai and OnLine are also slow out of the game but investing now in a disc-less, online gaming future may come from one of these companies. Plus, publishers would love it if all those used games were out of play.

Rather than continue the public rhetoric around the viability or potential of Flash on Apple’s touch products, Adobe launched a new ad campaign that purports the company’s view of Apple, of HTML 5 and boils down the whole issue into a near-political debate around the freedom for developers to choose which medium to create their digital art in. We found that ad on Engadget.com today that linked out to a page on the Adobe site (http://www.adobe.com/choice/?sdid=GXRUX) that briefly talks about the company’s position.

Will it end the war? Probably not. Yet, Apple has played this type of strategy before. When record companies supported, and then publicly denounced the use of Apple’s FairPlay encryption technology for DRM (digital rights management), the record execs did the unfathomable thing… they decided to support DRM-free music. Might this be Apple’s way of wearing down Adobe execs and making Flash a truly open standard?

I think big. From quadrupling the downloads on one of my products to working on a patent idea for a geographic-based technology to moving a web site to first search page results, I deliver fresh and creative ideas (based on data and user behavior) that succeed.

I think globally. Managing a remote staff of reporters from both sides (and middle) of the U.S., Japan, Australia, Germany, France and the U.K., I boil down global strategies and yet understand regional differences through open communications and balanced mentoring. And when bigger communication issues arise, I’ve implemented technologies like RSS to better communicate with internal stakeholders in other countries.

I think social. Social Media is the buzz right now with new tools that help businesses find new clients, fans and advocates. Yet, the strategies in using Twitter, Facebook, RSS and Google Trends is more art than science and require expertise, experience and up-to-date knowledge in a tech universe that changes daily. I’ve helped mix a blend of Social Media know-how, classic Internet marketing and social networking to take one new site from the depths of fourth page Google term searches to the top of page one.

I think audience. Talking to your audiences isn’t just a way to email them coupons or tell them to buy your latest product or service. Listening is the hardest part of any community strategy, but with a wealth of hands-on knowledge and a vested interest in their purchase they need to be heard more. I know how to ask what they want, I work to deliver honest and timely updates to reward and connect communities to their product’s creators. The result is faster development time, less helpline support and an engaged audience that advocates for you.

So what do you think?