According to the developer, there are 2 major changes requested by users:
First, the hidden word tip window has been all but completely removed. It will appear one time, and one time only, for the first hidden word you encounter after a new installation. After that, it's a historic event! Second, contact names that are automatically added to the user dictionary will now stay deleted instead of being re-added accidentally.The new release also comes with the addition of QVGA, WQVGA, WSVGA, and qHD support and the inclusion of dictionaries for Dutch, UK English, and Russian (not all screen-resolutions include support for all languages). Prediction accuracy will no longer degrade significantly over time.
Some more details on the update below:
+ Due to incompatibilities with new features added to Android 2.3.3, we have disabled double-tap-to-edit IN ANDROID 2.3.3 ONLY. This ONLY effects Android version 2.3.3
+ We fixed one of our gestures that you’ve all been asking for but didn’t work quite right: To hide the keyboard you can trace a path from the SWYPE key to the BACKSPACE key.
+ The installer includes a new option when it detects Swype is already installed: Generate License. This option can be used to force Swype to delete and re-create the license file. This should make fixing license issues a lot easier for our users.
+ Some changes to the license have significantly decreased the likelihood that updating your system software will require a new license for Swype. Major changes (such as switching between ROM flavors, e.g. going from CyanogenMod to SenseUI-based ROMs) will still require a new license, but simply updating your existing ROM should no longer disable Swype.
Swype users with access to the beta can begin downloading the update immediately by pointing their device's browser to http://beta.swype.com/android/get