According to Microsoft, Windows 2000 does not qualify for an upgrade to the XP Home Edition. Windows 2000 Professional users can only upgrade to XP Professional. If the XP upgrade disk is run from inside Windows 2000, the software will report that no qualifying operating system is seen, and therefore the XP upgrade cannot be used. However, if the computer is set to boot from the XP CDROM, the install program will indicate that it sees no qualifying program for the upgrade, and asks the user to insert the install disk for 1 of several qualfying operating systems to verify ownership. Windows 2000 Professional is a qualifying system on the list, in spite of Microsoft statements that it can only be upgraded to Windows XP Professional. To upgrade from Windows 2000 to XP Home Edition, boot from the XP CDROM (by changing BIOS settings), and when asked insert your Windows 2000 install CDROM to prove ownership of an operating system eligible for an upgrade. The XP install can then proceed on any available free hard drive space. If the free space is on a hard drive already containing Windows 2000 (space created for example by programs such as Partition Magic), the XP install will automatically set up a dual-boot system. This asks you each time you turn the computer on which OS you want. This allows people to retain Windows 2000, while migrating applications and data piece by piece to Windows XP.