Not to worry anymore! Just a few days after announcing Free Windows 7 RTM for all TechNet beta testers, another good news flowing in the form of ability to upgrade (or rather MIGRATE) from Windows XP to Windows 7.
Migrate XP to Windows 7 with Easy Transfer Over the Network
Below are some resources which give a step-by-step guide on using Microsoft’s Windows Easy Transfer program to help you transfer your files and settings from Windows XP to Windows 7.
Migrate XP to Windows 7 with Easy Transfer Over the Network – by HowToGeek Windows 7: Complete Guide to Windows Easy Transfer – by MSDN Step-By-Step: How To “Upgrade” from Windows XP to Windows 7 – by Hanselman How to Upgrade Windows XP to Windows 7? – by Nirmal
Mind you!! All of them basically explain the same method, but in their own ways. Please note that this process will not back up applications installed on XP to Windows 7. You will need to install all your applications again on Windows 7.