End users would still have to install the 3D map control on their computers to take advantage of the 3D capabilities, the SDK allows for checking to see that the map control is installed, or to shut off the 3D features.
And according to the Live Maps / Virtual Earth blog, another update to VE imagery has been released, including a number of new cities featuring Birds Eye imagery:
10TB of new imagery went out in this release along with 28TB of refreshed street map tiles. The October imagery release is one of the largest for Birds Eye in a while, featuring coverage in Madrid, Stockholm, Copenhagen, plus 15 regions in the UK and US respectively (see below for full list)
The blog entry also mentions more information coming on “some info on features coming in the next release of VE to enhance your Birds Eye viewing experience”, but nothing as of yet on that.