MSVC certainly does work on the Touch, and it announces incoming calls either over the device speaker or BT headset, but some hacks are necessary to make it work. If you do a search in the forums here, you will find much discussion on the subject. There are various fixes around. I am attaching the one that I have used, but you will need to do a search here to see where you need to put each file in the archive, as I don't have the instructions handy. But it does work perfectly (other than the known confirmation issue) once you do this.
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