There are two files you will need to download:
1. Windows6.1-KB958559-x64 or x86 depending on the architecture (32 or 64 bit) you are running.
Restart the system, then install:
2. WindowsXPMode_en-us
After downloading and installing Windows6.1-KB958559-x64 you will have to restart your system, then install the WindowsXPMode_en-us file, installation is quick and easy.
After Installation is complete, go ahead and launch Windows XP Mode from the Windows Virtual PC (Start Menu > All Programs group). The software will go through a quick configuration wizard while it details some of the benefits of the software users new to virtualization.
Configuring Windows XP Mode
Before you begin installing applications and using XP Mode, it is recommended you configure the software depending on the scenarios it will be used for. If you are using a few applications, it is recommended you adjust the allotted amount of RAM (default 256 MBs) to something a bit more realistic. I have 4 GBs of RAM in my machine, so I decided to give my XP Mode setup at least 1024 MBs of RAM. To do this, click Start > All Programs > Windows Virtual PC > Windows Virtual XP Mode
Select the Windows XP Virtual Machine, Click Settings on the Command Bar
If you are familiar with Windows Virtual PC 2007, the Settings window presents options you are accustomed to seeing. All of the settings listed manages how the Virtual Machine performs and functions. The first setting we will adjust is the amount of RAM, select that option from the list. In the right pane, you will see a field that you can edit. Enter the desired amount, note that this will depend on how much memory is available to the Host operating system (which is your physical computer). Microsoft recommends 2 GBs of memory and an additional 15 GBs of hard disk space per virtual environment to run Windows XP Mode. You are not limited to using the pre-bundled Windows XP Mode, (although its recommended), you can use your own Windows XP installation media. The Virtual Windows XP option is faster than creating your own virtual machine though. All you need to do is download the package that applies to your Windows 7 platform (either 32-bit or 64-bit) and run through the quick setup wizard.
Depending on how your virtual machine is configured when not in use, you might not be able to edit the settings. You must first ensure that it is shut down to make any changes to the Virtual Machines settings. To shutdown the Virtual Machine, click Start > All Programs > Windows Virtual PC > Windows Virtual XP Mode. The Explorer window will open displaying your Virtual Machine along with its current state, as you can see, my own is set to Hibernated. Click Settings on the Command Bar, select ‘Close’ in the settings window and select the ‘Prompt for action’ radio box. Each time you close the virtual machine, you can choose to hibernate, shutdown or turn off the virtual machine. This will give you the option to make changes to Virtual Machine when shutdown.
Starting the Virtual Machine
Starting Windows XP Mode
Starting XP Mode is very simple, you can launch Windows XP Mode from the Start Menu > Windows Virtual PC programs group or from the "Command Bar > Open", if you are within the Virtual Machines Explorer.
Installing applications and publishing
Once you have Started Windows XP Mode, you will see a familiar Windows XP environment. Along the top of the screen is the Toolbar that controls your experience working between the host and Virtual Machine, Restarting or Ending your session, connecting USB devices, securing your session, minimizing, maximizing and closing the Virtual Machine.
