Microsoft have made a few announcements today
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In the TFS 11 range there will be a new download of TFS, called Team Foundation Server Express, that includes core developer features:
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Source Code Control
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Work Item Tracking
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Build Automation
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Agile Taskboard
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and is free for 5 users (you buy CALs to add more)
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Visual Studio Express will support TFS
- A sneak peak of details of the upcoming VS11 and TFS 11 beta
For more details read the full posts I have linked to, and look out for the beta that will out on the 29th