Some Windows 7 versions allow virtualized XP
Microsoft has revealed that Windows 7 Professional, Enterprise, and Ultimate versions will come with the ability to run Windows XP in a virtual mode:
Windows XP Mode is specifically designed to help small businesses move to Windows 7. Windows XP Mode provides you with the flexibility to run many older productivity applications on a Windows 7 based PC.
All you need to do is to install suitable applications directly in Windows XP Mode which is a virtual Windows XP environment running under Windows Virtual PC. The applications will be published to the Windows 7 desktop and then you can run them directly from Windows 7.
Note that users of “Home Premium”, the version which most home PCs will have, will not have access to this feature.
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That sounds like a huge warning sign for PC users. Unless you buy the premium version your old programs will not work? I can smell the law suits from here. They had this issue with Windows 2000 and fixed it in Windows XP. Now they are up to their old tricks.