I've integrated the latest version into our software, it's actually the PHP version but you've closed the PHP forum for some reason.  Hopefully you'll be opening that up again soon.

General issues that need fixing (most important):

The Copy button creates a bizarre issue when you then try to paste into a text box, either as plain text in the editor or in another text field (or even Notepad).  All of the spaces are removed.  Using CTRL+C doesn't exhibit this problem.  The fault lies in the JS, so I can't fix this.

The Internal Links drop-down works, but only if the link text labels don't overrun horizontally.  If the link text is too wide, creating a horizontal scrollbar, then the off-page links are cut off and will not display.  Using the expander button while you're mid-scroll also causes problems, changing the offset and losing links at the top.  This feature needs a lot of work, it also seems a little over-engineered looking at the source.  You could just have used a DIV with overflow: scroll.  CSS is so much more efficient than JS, why reinvent the wheel?

PHP specific issues (that I've fixed):

include_cs2.php, line 409:

Change:

$element->setAttribute("v",$item);

To:

$element->setAttribute("v",iconv("ISO-8859-15", "UTF-8", $item));

If any of the filenames in a directory contain special characters, commands like Insert Image create the "error 2" response and nothing is displayed.  This is because you need to force strings to be UTF-8 to be valid XML.  I recommend that you include my fix above as standard.

ajaxuploaderhandler.php, line 520:

$cd=dirname($this->GetWebPath(__FILE__));

I've had to use my own custom fix for this, it will differ per server type.  The __FILE__ constant resolves symlinks, so if you have one installation of the editor and use symlinks to link to it from each of your sites, the GetWebPath() function will fail spectacularly and the editor will simply not work at all.  My fix involved replacing the first part of the path with $_SERVER['DOCUMENT_ROOT'], which reflects the current location without resolving the symlink.  Perhaps you might want to include a variable people can set to specify their own path if it's not auto-detected correctly.  I knew where to look, but many won't.

And finally...

Is it possible to disable the mobile skin?  Our users aren't finding it particularly intuitive.  At the very least, I don't think it should be displayed when using an iPad, that should be able to use the full version.

Other than these issues, I do think it's a good update to the editor.  Just some teething problems.