Windows Instant Messaging 
With the updated
Windows Messaging, it looks as if the battle between the major IMs (AOL and Yahoo!) is beginning to gel. IMs have gone beyond mere chats to include video as well. The most noticeable change is the integrated interface of the instant messaging, video, voice chat, and file sharing, as well as the updated MSN version 7, which offers a new interface and broadband access (for a fee). Still, you'll have to sign up for
.Net Passport to use this feature.
Internet Connection Firewall This down and dirty
firewall will get the job done. Windows XP keeps a log of any information you request when you check a webpage or email account. Used in conjunction with a third-party application like Zone Alarm 2.6, you'll have a reliable shield against hackers trying to access your machine.
Files and Settings Transfer 
Windows XP contains some helpful apps.
Files and Settings Transfer is designed to help you migrate files and preferences from your old PC to a new one. You'll have to look for it though; it's buried in the Start Menu under System Tools. We had two complaints about the feature: It doesn't support USB transfers, and you won't be able to migrate applications.
Home networking This easy to use tool will help you set up a
home network in less than 10 minutes, provided you have the right hardware. Wizard based, the app walks you through the jungle of network terminology.
Compatibility Despite Microsoft's efforts to improve hardware and software compatibility through its "Dynamic Update" feature during installation, the reality is that there are thousands of hardware devices and software applications. It's likely that some computer users will find devices and applications that will not work with XP. If Microsoft doesn't have the driver in its database, it will search for updates via the Internet. If it doesn't find the driver, you'll have to wait for the company to build one.
A word of caution to early adopters
According to Microsoft, upgrading PCs that are less than two years old is the best case scenario. If you're an early adopter, don't expect a rosy upgrade if your PC is on its last legs or if some of your hardware is more than two years old. The older your system, the more likely you'll find software and hardware incompatibilities. In our tests, XP recognized several pre-2000 scanners and MP3 players, but the OS couldn't find drivers in its database for a name brand digital camera and printer. On the other hand, we tried several new digital cameras and printers, and XP recognized them and supplied the necessary drivers. Still, if most of your devices are more than two years old, you might want to wait to upgrade to save yourself some hassles.
