ASP.NET 2.0 Rocks!
I have been working with ASP.NET 2.0 for the past few weeks and it has been an incredible experience. There are just SO many great new things that it would be impossible to list them all. My personal favorites are master pages, ObjectDataSource, two-way databinding, and being able to register user controls globally in web.config.
Thanks to the .NET 2.0 Beta 2 Go-Live license we can now start deploying websites using it. If you are taking the wait and see approach on using .NET 2.0, I highly recommend that you reconsider. I believe that Microsoft has done such a great job with the beta 2 version that it is of much better quality than the original 1.0/1.1 final releases already.
P.S. If you need great .NET 2.0 website hosting then take a look at Server Intellect.