I am running Windows 7 Enterprise 64 bit RTM running Virtual PC RTM to host
a Windows Vista Business 32 bit VM in which I am doing some smart device, or
specifically some Windows Mobile 6.1 Standard development.

I am able to debug etc into an emulated Windows Mobile 6.1 Standard device,
but my problem is that I cannot cradle it. From the searching I have done on
the net, it seems like cradling an emulated device does not work on Vista if
one is connected via Remote Desktop and the Virtual PC interface in Windows 7
is based on RDP, so is that why it doen't work?

Are there any workarounds/suggestions?

Thanks in advance,

I'm 99% sure that this isn't supported.

However, there may be a solution (I haven't tried it for ActiveSync/(etc.),
so don't believe it without trying it).  Go to
http://www.usb-over-network.com/ and install the client on you VM, and the
host on your Win7 platform.  I've been successful with devices other
varieties of devices, and you may find that it works for your situation.  If
so, then just upgrade the demo to a licensed version.

If you go this route, post back here with your results.

Dick