There are reasons to keep VS 05 and 08 installed on a single machine:
- If you have to support customers with VS '05 projects
- If you have tools (like Platform Builder) that Microsoft hasn't yet seen fit to integrate with VS '08 (thanks Microsoft, way to be on the ball)
- If you need to support any FFx/CF 1.0 project (for example if you have customers using WinCE 4.1 devices)
It's likely that you, and most everyone reading this, can get away with having only '08 installed, but not everyone gets that luxury. Maybe with the release of VS10 I'll be able to remove something.
Also, be forewarned that if you do device development, do not uninstall VS '05 if VS '08 is installed. If it's there leave it, even if you never use it. Uninstalling will break device connectivity from VS '08 and will require a full reinstall of VS '08.