I released version 1.2 of the DiffPlex library on both CodePlex and Nuget. This new version contains a few notable changes.

1. A new class called InlineDiffBuilder which makes it easier to build inline diffs (the same way the existing SidebySideDiffBuilder enables side by side diffs).
2. A new argument on the IDiffer interface which causes the diffing algorithm to ignore letter casing. (See work item)
3. DiffPlex 1.2 now targets .NET 4.0 and Silverlight 4.0

You can download the new version at the DiffPlex home page as well as contribute code/ideas to the project.