I am a member of the Team Foundation Server team at Microsoft. There are a lot of very valid issues raised here. Some of them are addressed in the 2010 release. Others remain as issues, but we do recognize them and are working to improve the developer experience with the next release. Discussions like this are great for helping us make sure we're solving the right problems.
Here is some info on issues that are at least partially addressed today in the 2010 version:
Stand alone client
For non-developer customers that want to use the product outside of VS, they can use the Windows Shell extension powertool.
If you have users (developers or not) that need to access TFS from non-Window machines, they can use Team Explorer Everywhere. This is supported on platforms including Mac & Linux.
Copy workspace
There are two ways to copy a workspace today. The 1st is by using the workspace template command at the cmd line. Ex.
Tf /workspace /new /template[workspace name/owner to copy from]
Alternatively, you can open a workspace in the UI, select all of the mappings, copy them, & then paste them into a file/email. Someone else can than paste those same mappings into their workspace.
It would definetly be great if you could simply specify a default workspace that clients automatically pick up, but we don't have this today.
Merging robustness
The scenario described where you do an add, rename, add & then have problems when you merge has been addressed in TFS 2010.
Branch/Merge as a 1st class experience
In TFS 2010, branches are now 1st class objects in TFS. You can visualize your branches & even track changes as they move through the branch. Branching is also now a fast server based operation.
Get Latest Version of multiple projects
You can do this today by choosing the TFS instance node in source control explorer & then selecting get latest. This is the equivalent of the root folder ($).
File locking
By default TFS never locks files when users checks them out. This is the way we use TFS at Microsoft & how we see the majority of our customers using TFS. It is possible to enable users to explicitly lock files. Some customers find this desirable, but it is not the default path experience.