Don't expect proper W7 support anytime soon, I had a whole thread on Tech Talk regarding the issue and today I discovered that they deleted it.
Windows 7, while it looks like Vista, is not Vista. It blows away XP in the performace category, so much so that I put it on my 8 year old AMD XP 1800 machine and the only thing I had to do was pick up an Nvidia graphics card. I run like 750MB of RAM on this machine.
Virtual PC is slow and painful, only use it as a last resort if you can't get yourself a corporate or otherwise properly licensed copy of XP.
VM Ware is the king of the crop, but costs 200 dollars/ I just changed out the HDD in my laptop to a 7200 RPM Western Digital Scorpio Black and am now using Sun's Virutal Box with XP SP2. You have to change the network setting from "NAT" to "Bridged" in order to get NEM to work properly, also don't use the latest build of NEM because it doesn't do a fresh install properly. I have found that 520A08B is the best one for a fresh install so far. You also have to completely disable the firewalls in both the Host OS and the Guest OS to make it work properly.
