I noticed that MyEclipse update for Eclipse 3.1M7 was available, so I finally made the switch to JDK 1.5, Tomcat 5.5, and Eclipse 3.1M7 which took about 30 minutes of scavenging and scrambling. The combo is so unreasonably stable and functional that it's almost boring.
Oh, I've also been using Visual Studio 2005 Beta2. Unlike Eclipse 3.1M7, it's quite unstable and annoying to use. I guess VS team had another experience drain because it feels more like a pile of parts and features instead of a luxury SUV we all need to ride over the unexplored territories in comfort. Maybe they need some fresh ideas. So, I am still using VS2003 for real Win32 and .NET works.