An updated version of the Windows Phone 7 tools will be available soon. The link is posted (though the files to which it refers are not yet there). You'll be able to find the download at this location.
There are some breaking changes between the CTP and the updated version. You can find the full list of those breaking changes here
Just to highlight some of the changes
- All of the assemblies that began with
Microsoft.Phone.* and the Microsoft.Device were merged into a single assembly, Microsoft.Phone
System.Locations was moved to System.DeviceListView and ListViewItem were removed.- A number of classes were renamed
The blog entry referenced above also contains information on exactly what you need to do to migrate your projects over from the earlier CTP to the current beta.
Tags: Windows Phone, Beta