Expanding the number of countries/teams taking part will not work since it has to be squeezed into the space between summer and the start of the real games. One problem the NHL has had with the OG is that they take too long. So yeah, a 3 week tournament won't work. It will also increase the wear and tear on players not yet in mid-season condition so the danger of injuries increases.
I still think it should be renamed the Canada Cup since it apparently will only take place in Canada (maybe the US in the distant future). Of course the host country will always have the advantage so couple that with Canadas superiority and we will have what we have today, Canada just cruising and making for a boring tournament for everyone except Canadian fans. The great thing of the OG is that it's played on different sized rinks, giving smaller countries with many non-NHL players a better chance of an upset and somewhat leveling the playing field. When you already know who is going to win, it's just tedious. As well as this WHC was tailor made for the US and Canada meeting in the final. Fun times that.
Apparently Bob Nicholson is pushing for the next WHC to be played in Edmonton so obviously this is an Canadian tournament. The NHLPA is supposed to represent all their players but they too either see the financial rewards (which come out to about 50,000$ per player) as paramount or they were pressured by the owners into taking part. I'm actually surprised that the NHLPA has embraced the WHC knowing it will decrease the chances of taking part in the next OG when it's obvious the majority of players really want to go to the olympics.