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With Windows 7 out of the way, Microsoft has just released Windows XP Mode RC. If you recall, Windows XP Mode utilizes your CPU's virtualization capabilities to run Windows XP from within your Windows 7 desktop. It's basically Microsoft's way of providing compatibility for those old WinXP apps that may not work well under Windows 7. Note: your CPU must support hardware virtualization and it must be enabled within your motherboard's BIOS. Microsoft also says that Windows XP Mode requires RC or RTM builds of Windows 7 Professional, Ultimate or Enterprise and an additional 1 GB of RAM, 15 GB of available disk space. Here's a list of the new features that have been added since the beta:

Based on feedback from the Windows XP Mode beta, we’ve made several improvements to the usability of Windows XP Mode for small and medium-sized business users:

You can now attach USB devices to Windows XP Mode applications directly from the Windows 7 task-bar. This means your USB devices, such as printers and flash drives, are available to applications running in Windows XP Mode, without the need to go into full screen mode.
You can now access Windows XP Mode applications with a “jump-list”. Right click on the Windows XP Mode applications from the Windows 7 task bar to select and open most recently used files.
You now have the flexibility of customizing where Windows XP Mode differencing disk files are stored.
You can now disable drive sharing between Windows XP Mode and Windows 7 if you do not need that feature.
The initial setup now includes a new user tutorial about how to use Windows XP Mode.

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