Hello,
I do not want to dissapoint you but it seems that debuging in vs beta does not work with emulators - you are not the only one with this problem.

In MS Forums, I saw an post that you need to set "Loopback adapter" in Emulator->Properties->Options->Network and restart emulator but this did not worked for me - it still does not respond to breakpoint.

There is a blogs from VS SmartDevice team, usualy they mentioned problems with smartdevices and vs and how to solve. You might check them out.

hope it help asmith