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"Users not being able to install all the windows programs that they already paid for"
Users don’t install software on netbooks> The majority don’t because it doesn’t have a CD drive, and they’re not used to the idea of software not coming on CDs. The only software I’ve seen users install is either Skype, or MSN.
The only valid reason I could see an average users wanting XP over Linux for is that the Linux software bundled with the machine isn’t MSN enough, and doesn’t support webcam; as you've said.