His list definitely makes sense, although that last one (Virtual drive mounting) should only be a Business/Ultimate feature, most standard Home users won't be doing that.
So it needs:
-PDF support (replace Adobe Reader)
-Most common codecs (Replace Quicktime, keep codec packs around for less common formats)
-Decompression/compression utilities (Replace 7zip)
-Advanced deletion utility
-Native blu-ray support
-More ability to add/remove unneeded components (touch screen stuff is installed no matter what)
-Alternative browsers (Google Chrome, Firefox, Opera, etc.)
-Some kind of password manager
-Cleaning utilities (registry, empty folders, duplicate files, broken shortcuts, etc.)
-Flash support
-Out-of-box Java support
-Ability to mount/use virtual machines (might be already included)
-Unused driver removal
And maybe a universal IM client (Pidgin is currently a great one).