You know where Word processing could really improve? Using stylus input on a tablet. Historically that's really clunky.
Maybe AI to reformat my stylus-scribbles into fully realized edits at the correct location and nicely formatted diagrams correctly blocked into the text. That would be killer.
Two use cases. Tell the Microsoft Ai to not let anything interrupt during the PowerPoint presentation coming from the Windows Pc. And, before that, tell Ai to "just work" with the projector or meeting screenshare at maximum diplay/audio performance spec.
MS will create the new Clippy AI such that it solves the paperclip problem with minimal fuss and minimal use of paper for environmental friendliness. Maybe the AI will team up with HP and Canon and be smart enough to turn off the print functionality in all your Office documents and printers so you won't need to have any paperclips