I am running Dragon NS Preferred 7.3 under Windows Xp Home with SP2 installed. The only problem I had was shutting down the PC (Had to do the close down routine twice). I then installed Startup Inspector and stopped Dragon NS and other programmes from starting on Boot up and that problem disappeared. Dragon NS is working perfectly for me at this time. All this was done after a Hard Drive failure, with New Hard Drive installed and a clean installation of XP, SP2, followed by my applications.