Trying to create a new project in VS2010 (on Windows 7 64-bit) of type Windows Phone Application, I get the error:
You need to install the Silverlight 4.0 SDK before creating a Silverlight for Windows Phone project. Download the Silverlight 4.0 SDK from: [link omitted]
If I try to install Silverlight 4.0 SDK, I get:
A newer version of Microsoft Silverlight 4 SDK is already installed.
I have completely uninstalled and resintalled VS2010 (and SP1 service pack) as well as everything related to silverlight and WP7 SDK.