For what it's worth, I've been following my computer magazine's reviews on the Windows 7 with great interest as I am thinking of either upgrading or buying a new PC. My present PC is a 7 year old 'E Machine which by design is very basic albeit I had several extras added when I bought it.
My understanding is that Microsoft are offering 4 different versions, the first two are NOT COMPATIBLE with Windows XP, the third and fourth versions are. Be aware there is a great price jump between the versions. I am interested in the third version (Windows 7 Professional) and have been quoted from £150-£220, however I was in Tescos yesterday and they have it for around £77.00 and yes! it is the genuine version.
I agree with Bill, it is better to go to a shop rather than the net, if only to read the specifications on the boxes, where it is clearly stated which versions are compatible with the XP Home.
Finally, my computer magazine also rates this new Microsoft system very highly. It also states that Microsoft have been working closely with printer manufacturers this time, in order to avoid the chaos caused when Vista was launched.
Hope this information helps.
Audrey
[This message has been edited by Audrey Turner (edited 12-01-2009).]