Windows XP compatibility mode ( XPM ) in Windows 7 is available for Windows 7 Professional, Enterprise and Ultimate.
XP Mode consists of the Virtual PC and a fully licensed copy of Windows XP with Service Pack 3 (SP3). Users can run Windows XP-based applications alongside Windows 7 applications under a single desktop.
As soon as user install applications inside the virtual XP environment, they are published to the host (Windows 7) OS as well as shortcuts placed in the Start Menu.
Windows XP Mode requires a download from Microsoft.