As Amit Chopra wrote on his blog some time ago, some people who have installed the IE8 Beta have seen issues with the Smart Device Project wizard in VS 2008. It looks like they are still here in Beta2 (can anyone confirm or deny?), and they seem to be related to the JScript engine that comes with IE8. So remember, a Beta is a Beta, so don't be too surprised (or angry), and don't install it on production systems. (It seems like this can't be repeated too often...)