Finally Microsoft has released a service pack for visual studio. It claims to have fixed many bugs and has performance improvements in the build process. This will certainly be helpful for developers using VB.NET since the original VB.NET compiler crashed frequently and it took unnecessarily long time to compile solutions. Release notes for the service pack is available at http://support.microsoft.com/kb/928957/.
Web application projects are now built in to the IDE. You will have to uninstall the web application projects add on to install SP1.
If you plan to install SP1 its better to go through the release notes first, it can save you a lot of frustration because it seems that there are many workarounds you have to do to get it installed depending on your current configuration.

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