Editor: Powerful file Compare and Merge utility. Features: built-in editor with syntax highlighting, undo and wordwrap; highlights changes within lines; editing or fast by-difference merging; printing; html and text reports; zip support; Unicode support; search and replace with regular expressions; manual line matching support; convertors support for non-text files comparison.
Short overview of most important new features: v4 only! New viewers: compare binary and image files.
v4 only! Automatch rules: simplify comparison of structured files by using key fields.
New editing engine: most asked feature! Now true editing is possible within comparison panes, with full support of mouse and keyboard operations, clipboard, bookmarks, etc.
Syntax highlighting will be useful for all software/web developers. Built-in support for C++, Java, C#, Delphi, HTML + custom syntax files.
Word wrapping within editor pane - now you can easily see changes in long lines without having to scroll view.
MS Word, Excel, PDF, RTF files comparison. Details
Zip archives support: transparently compare file with it's zipped version.
Converters: now you can use Compare It! to compare non-text files - if you can find a tool to convert your file format to text. Several ready to use converters you can find here
Moved Sections: Compare It! can Detect and visualize moved sections, Similar to what well-known WinDiff does.