bit of confusion.
lets talk xp first.
xp home...
3 versions...(there are more, but not pertinent to this topic)
1) xp home as you buy on shelf
2) xp home as shipped on netbooks (license sticker on bottom of machine will state FOR ULCPC or similar)
3) xp home as INTENDED to be shipped on netbooks...........this is the one causing confusion.
lets talk about 3 above. When the eeepc threat came to microsofts attention they knee-jerked a reaction, which was eventually the ULCPC (ultra-low-cost pc scheme) What this started out as was a downloadable set of scripts which would take a xphome cd, massage it and remove non-needed stuff, set a lot of services to disabled and then spit out an iso, to be used when installing on a netbook with ssd, and e.g. 2gb of space. This didnt really catch on , and I have yet to see one of these type of xphome's in real life. OEM's just basically installed xphome as normal, and used the ULCPC license, which was allowed.
so, on to vista (totally ignored because of the requirements)...
on to win7. I am not telling yet. But personal testing shows a seperate stripped down version isnt necessary.
P.S. to qualift for ULCPC license the machine has to NOT exceed certain requirements...that is why you see a lot of 1gb ram, 1.6ghz cpu, 160gb hard drive netbooks around...microsoft as usual, dictating the market..if you exceed those specs then you have to use full price xp home license.