well my 4gb works superbly with xp on it, i installed it myself, it even tells you how to do it int he asus manual
i paid £199 for my 4gb a few months back
ok hard drive space is crap, but theres almost a couple gb free on that then you just install and run anything else on a memory card so no probs atall
as aboove its a second machine not one to use at home, use it out and about its a very great tool, everyone i have sown it to loves it as its soo small and lightweight