Microsoft has released Virtual PC 2007 to the public, and has made it a free download.  I havent' tried it yet, but people have told me it works very well, so if you happen to try it please leave your opinions.

From the Microsoft site:

"Use Microsoft Virtual PC 2007 to run multiple operating systems at the same time on the same physical computer. Switch between virtual machines with the click of a button. Use virtual machines to run legacy applications, provide support, train users, and enhance quality assurance.

Virtual PC lets you create separate virtual machines on your Windows desktop, each of which virtualizes the hardware of a complete physical computer. Use virtual machines to run operating systems such as MS-DOS, Windows, and OS/2. You can run multiple operating systems at once on a single physical computer and switch between them as easily as switching applications—instantly, with a mouse click." "




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I used the beta. Tried to install Ubuntu, but it didn't play well with my multiple monitors.
Running XP on it from Vista worked fine though.