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You can install Windows XP Home Edition or Windows XP Professional in a virtual machine using the full installation CD.
Before installing the operating system, be sure that you have already created a new virtual machine and configured it using the New Virtual Machine Wizard.
Note: To use SCSI disks in a Windows XP virtual machine, you need a special SCSI driver available from the download section of the VMware Web site at www.vmware.com/download. Follow the instructions on the Web site to use the driver with a fresh installation of Windows XP.
After installing your guest operating system, you are ready to install VMware Tools as described in Installing VMware Tools.