TFS 2010 Improvements

Easy to Install & Configure

20 minutes to install and setup

Runs on windows client & Domain controllers

Supports SQL Express as an option

Provides Integrated Team Server

Source Controls

Bug / Work Item Tracking

Automated Build

Server with continuous Integrates support

It included with MSDN subscription so cost effective
TFS 2008 supports VS2010 or you can use TFS 2010. There is a patch you can download and use TFS2010 that supports VS2008. So backward compatibility and mixed mode is always possible.

You can also install with out having sharepoint installed in the box
It takes less than 5 minutes to create a project.
TFS client support for non windows systems included in a plugin called Eclipse