Hi,
Yep, You need the .NET framework.
They're included on the Beta .NET Framework CDs you mentioned although I've only seen and used the Beta 2 version.
There are no surprises that I'm aware of... but I guess its possible there is a timelimit on the Beta version. I'm using the real one now and so wasn't hit by a time limit when I changed over a few weeks ago.
You will have the opportunity to download and install the patches that Microsoft has come up with since putting out the CD...or at least I could with the full development installation.
If you can, get the real version. I have afeeling that the .NET framework component is freely downloadable and I'll take a look in a minute...
Cheers,
Tim.