Windows 7 with downgrade rights to XP

I'm looking to purchase a new pc and did not want Windows 7 installed on it, but did want XP instead.  My question is according to Dell.com, I can purchase some models with:

Genuine Windows®  7 SP1 Professional with Downgrade rights to Windows XP Professional pre-installed 32-Bit


What the heck does this mean?  Does it mean it will already have XP installed and I can choose with OS to use?  or what?
ee4itproAsked:
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David Johnson, CD, MVPConnect With a Mentor OwnerCommented:
Microsoft has discontinued downgrade for new systems.  you cannot buy windows xp on a system anymore
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☠ MASQ ☠Commented:
Pretty much.  You'll get a licence to run either XP or Windows 7 on the PC whichever you don't choose still remains available to you as an option to install later.

See Microsoft's OEM pages for the detail

You can't have both installed at the same time and dual boot as this is prohibited by the license.

Dell will provide one system pre-installed and reinstallation disks for both OS's, there will be a CoA sticker on the case for Windows 7 that will allow you to use XP under the terms of the downgrade option.
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rindiCommented:
Why don't you want Windows 7? With 7 pro you would have a further free option available to you. You could get Windows XP mode, and then run XP as a virtual OS within Windows 7 at the same time. This in my point of view gives you more options, and you have the advantage of using a more modern OS.

http://www.microsoft.com/windows/virtual-pc/download.aspx
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marsiliesCommented:
I did something similar with Vista on a Dell PC. What you'll get if you get that option is:

Windows XP Pro pre-installed on the PC.
A COA sticker on the side of the PC for Windows 7 Pro
Installation media for Windows 7 Pro

It will not XP Pro install media, but may have a recovery partition or discs for XP.

BTW, Any OEM copy of Windows 7 Pro has downgrade rights to either Vista or XP. You don't need to get it downgraded at the time of purchase, but you then are responsible for the downgrade process. Dell's just simplifying it by offering to ship it already downgraded to XP:
http://www.microsoft.com/oem/en/licensing/sblicensing/pages/downgrade_rights.aspx
http://www.microsoft.com/OEM/en/licensing/sblicensing/pages/what_to_do_downgrade_rights.aspx
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ee4itproAuthor Commented:
I just downloaded and installed both Virtual PC and XP mode.  My question is do I need to install all the software I have in Windows 7 in order to have it run on Windows XP mode?  
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rindiCommented:
If you want to run it from within XP, then yes. But that is usually not necessary. Normally you would only install the software within XP that you really need there.
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GeisrudSystems AdministratorCommented:
At this point in time, Dell does not sell any computers with Windows XP, even as a downgrade option (this directly from my company's Dell account manager).

You can have XP mode installed, but you cannot get a factory machine from Dell with XP.

Going back to your question, IF you do find a machine listed as you say "Genuine Windows®  7 SP1 Professional with Downgrade rights to Windows XP Professional pre-installed 32-Bit"

Then it will arrive with XP installed and depending on your options when you purchased the machine, recovery media for XP and Win7.
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