Speaking at a Q&A session at the Microsoft MIX 2010 conference, spokespeople confirmed to Engadget that copy and paste is not included in Windows Phone 7 builds currently. Apple introduced the iPhone in 2007 without copy and paste functionality and took two long years to introduce the feature into the iPhone OS. Apple was criticised countless times from power users and regular users who had no way of copying text from one application to another. The original decision created a discussion across the Internet as users eagerly awaited the functionality to be added to iPhone OS.

The exclusion of copy and paste will likely trigger the same discussions that we witnessed for the lack of the function in iPhone OS. Microsoft also revealed this week that the Windows Phone 7 OS will not support multitasking applications. Each application will be sent a kill signal to terminate the application when a user presses the start button on the device. The lack of copy paste, file system access and multitasking is likely to anger die hard Windows Mobile fans but Microsoft has to make some tough decisions with its next mobile OS. Sandboxing applications and restricting file system access will increase the security of the device and battery performance, thus creating a better end user experience. Microsoft is betting on developers creating compelling applications and linking their data into the hubs Microsoft has built. Developers also have the opportunity to use push
notifications outside of their application.
Source
Someone trying to play Apple?