Brandon Watson blogged (link) this week about the availability of the January Windows Phone Developer Tools update and I would encourage anyone developing for Windows Phone 7 to install the two updates here. Using this update you’ll have access to some assemblies that will ship with the forthcoming Windows Phone operating system update that will provide copy and paste support along with performance improvements and other enhancements.
Starting with the Windows Phone Developer Tools January release, the Windows Phone 7 emulator supports copy and paste and you can use the emulator to ensure your applications are able to use this new feature correctly. You can find more information about using this emulator feature within the MSDN documentation.
According to Brandon’s blog, the majority of applications will be able to use the new capabilities without being resubmitted to the AppHub although developers are encouraged to download and install the updates and then do a “sanity check”. Several corner cases are described on Brandon’s blog, such as where a TextBox has been placed within a Panorama or Pivot control, and the Windows Phone team is reaching out to those developers.