Microsoft released the final software development tools for Windows Phone 7 devices. But the highlights of a sneak preview on the Redmond campus were some of the apps and online services already lined up for WinP7. During a briefing with a small group of tech reporters, the company demonstrated apps from sites including: Twitter, Netflix, Flixster, and Travelocity.
And then there was YouTube — it wasn't a YouTube app. But after opening phone's browser, Brandon Watson demonstrated the ability not only to play videos from popular video-sharing site but also to later access that same video from the centralized Zune music and video hub on the phone. In the lack of Flash support on WP7, it appears that Microsoft's using publicly available app programming interfaces to access and play underlying H.264-encoded YouTube videos.