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Windows 7's XP Mode: what it is, how it works, who it's
I know quite a few members here on the Seven Forums are always looking into setting up in XP mode, or trying to find a handle on making it a smooth installation.
I went through the Virtualization Forum and couldn't find a link to this article from Arstechnica, so here is a link to an excellent article on how to set up, and work with Windows XP mode. This is a long article, so if you find it will help I recommend that you copy it into either a XPS or PDF file.
Here is the web page.
Hope this helps and answers some questions you may have/had.