Thanks to everyone’s feedback, we’re happy to announce that Windows XP Mode has RTM’d today. We expect to make the final release of Windows XP Mode available via the Microsoft Download Center on October 22nd. OEMs will be able to offer Windows XP Mode on their PCs based on their manufacturing schedules.

For more information on Windows XP Mode, including feature highlights and quotes from some of our partners, I recommend reading this blog post.

Windows XP Mode is designed to provide small business and mid-sized businesses running Windows 7 Professional (or higher) the ability to run Windows XP productivity applications that may not be natively compatible with Windows 7. We expect many Windows XP applications to be compatible Windows 7 however Windows XP Mode is meant to serve as an added safety net so small and mid-sized businesses can migrate and run Windows 7 without any road blocks. Windows 7 Professional is designed to meet the needs of small and mid-sized businesses.

Back in April, we introduced the Windows XP Mode beta and after a few months of incorporating your enthusiastic feedback, today we are announcing the availability of the Windows XP Mode Release Candidate.

Download: Windows XP Mode Release Candidate

As you may know, Windows XP Mode is specially designed for small and medium-sized businesses to help ease the migration process to Windows 7 by providing additional compatibility for their older productivity applications. The newly updated Windows XP Mode now works with the RC and RTM versions of the Windows 7 Professional, Ultimate and Enterprise SKUs.

Before I get into what has changed from beta to RC, I’d like to take a moment to clarify what Windows XP Mode is designed for, and highlight the point that in many cases Windows XP Mode will not be necessary. Windows 7 has a strong compatibility story with Windows Vista, and many applications that currently run on Windows XP-based or Windows Vista-based PCs should just run natively on Windows 7 – allowing you to take advantage of better performance, better management and better security built into Windows 7. In most cases, we recommend running applications natively in Windows 7. Windows XP Mode provides what we like to call that “last mile” compatibility technology for those cases when a Windows XP productivity application isn’t compatible with Windows 7. Users can run and launch Windows XP productivity applications in Windows XP Mode directly from a Windows 7 desktop. I also strongly recommend that customers install anti-malware and anti-virus software in Windows XP Mode so that Windows XP Mode environment is well protected. For customers that manage several Windows PCs running Windows XP Mode and want to simplify management tasks, we offer Microsoft Enterprise Desktop Virtualization (MED-V) as part of the Microsoft Desktop Optimization Pack.

New Features in Windows XP Mode RC

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.

Customer and Partner Comments on Windows XP Mode

We are very excited that our customers and our partners see the value of Windows XP Mode. We collected testimonials from some customers testing Windows XP Mode; you can view videos from some of these customers here.

Many PCs can take advantage of Windows XP Mode, thanks to hardware capable of virtualization. 

PC manufacturers are using Intel processors with Intel Virtualization Technology on virtually all of their Intel systems aimed at small- to enterprise-size businesses. All PCs using Intel Core 2 processors with Intel vPro technology include Intel Virtualization technology. You can verify that an Intel processor has Intel Virtualization Technology here.

In addition, by Windows 7 launch all AMD CPUs shipping to customers, except Sempron, will include hardware virtualization. Here is what Margaret Lewis, Director of Commercial Software and Solutions from AMD says about supporting hardware virtualization and Windows XP Mode:

With XP Mode, Microsoft has built-in client virtualization technology that makes it easy to install and run Windows XP applications directly from a Windows 7-based PC, allowing users to enjoy the benefits of Windows 7 while maintaining support for legacy applications. AMD has worked closely with Microsoft to deliver highly optimized virtualization platforms and this new operating system continues the maturation of client virtualization while making use of AMD innovations.

We are also working with OEM partners to include Windows XP Mode preinstalled on new PCs.

Michelle Pearcy, director of Global Software Marketing at Dell, discusses the importance of integrating with Microsoft for Windows XP Mode:

Our customers expect their applications to simply work, regardless of their selected operating system. Windows XP Mode provides them with the confidence to migrate to Windows 7 while maintaining access to mission critical applications. Dell worked closely with Microsoft on the development of Windows XP Mode and provided input so that our customers can easily transition to Windows 7, which is a safer, more secure and efficient operating system.

Carlos Montalvo, Vice President of Experience Marketing on the Personal Systems Group at HP, talks about how HP intends to take full advantage of Windows 7 with their products:

For more than two years HP has collaborated closely with Microsoft on the development of Windows 7, contributing important innovations. HP is working to ensure our customers can take full advantage of the latest Windows 7 technologies such as offering our small and medium business customers the flexibility to run legacy applications. Our latest high performance multi-core enabled Windows 7 PCs will take advantage of Windows XP Mode once it is released.

Peter Schrady, Vice President and General Manager of Software, Peripherals and Enterprise Products at Lenovo discusses optimizing their PCs for Windows 7 and Windows XP Mode:

We’ve optimized our Think-branded PCs for Windows 7 and Windows XP Mode so businesses can enjoy the latest computing platform while still being able to use legacy applications that are supported only in Windows XP. Giving users seamless integration in a virtual environment is another way we’re working together to support commercial customers that have limited resources to spend on IT.

At the beta, there were concerns about the licensing for anti-virus and security software under Windows XP Mode and as we progressed to RC, we worked closely with those partners. Today, Kaspersky and Symantec confirmed their software will be supported in Windows XP Mode in addition to running on Windows 7 natively. We continue to work with additional anti-virus and security vendors to ensure their software will also support Windows XP Mode.

Here’s what Alexey Kalgin, Director of Product Marketing on the Corporate Business Division at Kaspersky Lab says:

By working with Microsoft, we are confident that Kaspersky Lab will provide XP users running Windows 7 in a virtual environment with an excellent security option that is easy to manage, and protects their valuable data without slowing them down. With the continued dramatic increase in malware and web attacks, our mission is to provide the best security possible for end-users and keep them educated and aware about the evolving threats.  Our Kaspersky Lab technical prototype for Windows 7 has been installed by more than 950K people since January. Thanks to collaboration with Microsoft, we have received an exceptional amount of valuable feedback from testers that will enable us to ensure that our products are fully compatible and permit everyone to safely take advantage of the new and unique features of Windows 7.

Blake McConnell, Senior Director, Product Management, SMB Security Solutions, Symantec, discussed the importance of running security software in Windows XP Mode:

Symantec has a long history of securing, managing, and assuring the availability of millions of desktops, laptops and servers running Microsoft Windows and other Microsoft applications. Symantec security products will give customers running Windows XP Mode on Windows 7 the peace of mind that their systems are up-to-date and protected from complex security threats including malware, spam, and viruses.

Please note: Windows XP Mode RC requires RC or RTM version of Windows 7 Professional, Ultimate or Enterprise. It also requires additional 1 GB of RAM, 15 GB of available disk space, and processor capable of hardware virtualization with AMD-V or Intel VT turned on in the BIOS.

Most people buy a PC preinstalled with the edition of Windows that meets their unique needs. However, for some customers their needs may change over time.

With Windows Anytime Upgrade (or WAU), we make it super easy and convenient for the small number of customers who’s PC needs evolve to need a higher edition of Windows 7.

There are a couple of specific situations where we think WAU will prove useful:

Windows 7 Starter to Windows 7 Home Premium: $79.99

A customer may purchase a netbook thinking they would use primarily it for email. Over time, they find they are using that netbook as their primary every-day PC. That person decides they want their netbook to do more. If the netbook is running Windows 7 Starter (or Windows 7 Home Basic in select markets), WAU makes it super easy to upgrade to Windows 7 Home Premium. Moving to Windows 7 Home Premium will allow that customer to take advantage of features such as Aero Peek and other enhanced functionality in the Windows Taskbar in Windows 7 such as Taskbar Previews. Desktop themes are also enabled and so is Remote Media Streaming.

Windows 7 Home Premium to Windows 7 Professional: $89.99
Windows 7 Home Premium to Windows 7 Ultimate: $139.99*

* You’ll note that we’ve reduced the price of moving from Home Premium to Ultimate 12% in the US as compared to Vista pricing

Another case where WAU may come in handy is when a person wants the ability to connect to a business network (a “domain”). Using WAU to move up to Windows 7 Professional enables the customer to take advantage of the ability to join a domain and use Windows XP Mode to run older programs. When using WAU to move to Windows 7 Ultimate, you’ll get everything from the other editions plus BitLocker to keep your USB devices encrypted and secure and the ability to run your PC in any of 35 different languages (via Language Packs).

After Windows 7 is released to market on October 22nd, you will be able to buy a retail package that contains an upgrade key at a store near you for any of the 3 paths I highlighted above.

If you live in Australia, Belgium, Canada, France, Germany, Italy, Japan, the Netherlands, Spain, Sweden, Switzerland, the UK or the US (13 countries) – you will be able to purchase the upgrade from Microsoft online directly within Windows 7.

Whether you buy a WAU retail package from a store or online directly within Windows 7, the upgrade takes as few as ten minutes. This is because it only requires an upgrade key (no media). Your current programs, files, and settings will remain intact.

For a rundown of the Windows Anytime Upgrade experience, click here.

Now let’s talk about the Windows 7 Family Pack. Last week I confirmed we were doing a family pack for Windows 7 consisting of Windows 7 Home Premium for installation on up to 3 PCs.

Today, most homes have more than one PC in them. When you run Windows 7 on more than one PC on a home network, you can do more with features like HomeGroup. HomeGroup allows people to connect to PCs on their network and share files, music and photos with the whole family – easily. The Windows 7 Family Pack is an easy and affordable way to get all your PCs in your household running Windows 7 through licensing to install Windows 7 Home Premium on up to 3 PCs.

The Windows 7 Family Pack will be available starting on October 22nd until supplies last here in the US and other select markets. In the US, the price for the Windows 7 Family Pack will be $149.99 for 3 Windows 7 Home Premium licenses. That’s a savings of more than $200 for three licenses. This is a great value and we’re excited to be able to offer it to customers.

The PressPass Q&A we posted today addressed a number of questions around Windows XP Mode. I wanted to clarify in more detail the differences between Windows XP Mode and MED-V and how specifically MED-V v2, a component of the Microsoft Desktop Optimization Pack (MDOP), adds management to Windows XP Mode.

The main facts:

Windows XP Mode is specifically designed to help small-business users to run their Windows XP applications on their Windows 7 desktop.

• Windows XP Mode is available for Windows 7 Professional, Windows 7 Ultimate and Windows 7 Enterprise customers.
• Windows XP Mode combines Windows Virtual PC and a pre-installed virtual Windows XP environment to allow users run many older applications.
• Windows Virtual PC will enable users to launch virtual applications seamlessly from the Windows 7 Start menu.
• Windows Virtual PC includes support for USB devices and is based on a new core that includes multi-threading support.

Microsoft Enterprise Desktop Virtualization (MED-V) is designed for IT Professionals.

• MED-V enables Virtual PC deployment in larger organizations.
• MED-V provides centralized management, policy-based provisioning and virtual image delivery to reduce the cost of Virtual PC deployment.
• MED-V v1 builds on Microsoft Virtual PC 2007 to help enterprises with their upgrade to Windows Vista when applications are not yet compatible.
• MED-V v2 will add support for Windows 7 (both 32 bit and 64bit) and Windows Virtual PC.
• MED-V v2 beta will be available within 90 days of Windows 7 GA.

How MED-V adds management to Windows XP Mode and Windows Virtual PC?

To provide a managed, scalable solution for running virtual Windows XP applications, MED-V addresses many of the IT challenges around deployment and management including:

Deployment – deliver virtual Windows images and customize per user and device settings

• Automate first-time virtual PC setup based on an IT customized script – including assignment of a unique computer name, joining to AD domain
  (for instance: assign the virtual PC a name that is derived from the physical device name or the username to simplify identification and management)
• Adjust virtual PC memory allocation based on available RAM on host, so that the virtual PC does not take significant resources from the user

Provisioning – define which applications and websites are available to different users

• Assign virtual PC images according to users and groups
• Define which Windows XP applications will be available to the user through the start menu
• Define which websites (e.g. internal sites that requires a previous version of Internet Explorer) are redirected automatically to Windows XP

Control – assign and expire usage permissions and Virtual PC settings

• Control the network settings of the Virtual PC (e.g. whether it connects through NAT or DHCP, whether its DNS is synchronized with host)
• Authenticate user before granting access to the Virtual PC
• Set expiration date, after which the Virtual PC is not accessible to the end user

Maintenance and Support - update images, monitor users and remotely troubleshoot

• Update images using TrimTransfer network image delivery – update a master Virtual PC image, and MED-V will automatically distribute and apply the changes to all endpoints
• Centralized database aggregates events from all users, and provides troubleshooting information on malfunctioning virtual PCs
• Administrator diagnostics mode allows faster resolution of Virtual PC issues

Run on multiple platforms – MED-V will work on both Windows 7 and Windows Vista.

Which customers should use Windows XP Mode standalone?

Windows XP Mode standalone is suitable for small and medium business users, who are able to set their XP applications themselves and may or may not have IT Professional staff. Each PC has its own virtual Windows XP environment that is controlled and managed by the end user. Windows XP Mode standalone is not designed for large, centrally managed deployments that have widely deployed business applications that require Windows XP.

So in summary MED-V builds on top of Windows Virtual PC and adds important management capabilities.

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...

[[ This is a content summary only. Visit my website for full links, other content, and more! ]]

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.

Windows XP Mode and Windows Virtual PC are best experienced on your new Windows 7 PC. We will be soon releasing the beta of Windows XP Mode and Windows Virtual PC for Windows 7 Professional and Windows 7 Ultimate.