I happily do pretty much everything I want to do with the relatively lightweight VSE 2008 C# and on occasions VSE 2008 C++.
Temporily ignoring dotNet 4 support has anyone played with VSE 2010 yet? Is there anything I'm really going to miss? Is there anything really compelling in 2010?
 I normally target 2.0 because that's installed everywhere where my code goes, well except for a couple of WPF apps for a system where I know 3.5SP1 is everywhere.