Today we are also shipping a free download that enables Silverlight 3 development support for VS 2008 and Visual Web Developer 2008 Express (which is free).  The VS 2008 Tools for Silverlight download provides project support, intellisense, compilation, and debugging for Silverlight 3 applications.  The next release of Visual Studio - VS 2010 - will add to this and provide a fully interactive WYSIWYG designer for Silverlight (including data binding support within the designer).

Click here to download the VS 2008 Tools for Silverlight (this will also install the SL3 developer runtime + sdk).  Click here to download the Silverlight Toolkit (which adds additional controls).