V4.1.0.6 does work better, as does V4.1.1.0Beta1. VS terminated once on the first deploy with V4.1.0.6 and never saw that with V4.1.1.0Beta1, might have been coincidence. Jacking the USB is sometimes required to get deploy started, but with some fooling around it works.If you reflash your device with the v4.1.0.6 production firmware do you see the same spotiness with USB connectivity?
The problems with VS locking tight seem specific to the 42KB_RAM version. Those crashes require sending the ol' CTL-ALT-DEL and killing VS. Didn't see that with the other versions. Does this make any sense?
For now I will use V4.1.1.0Beta1 for some .NET learning...