Windows 2000 and Windows XP are essentially the same 
operating system (known internally as Windows NT 5.0 and 
Windows NT 5.1, respectively.) Here are some considerations 
if you're trying to decide which version to use: 

Windows 2000 benefits: 

1) Windows 2000 has lower system requirements, and has a 
simpler interface (no "Styles" to mess with). 
2) Windows 2000 is slightly less expensive, and has no 
product activation. 
3) Windows 2000 has been out for a while, and most of the 
common problems and security holes have been uncovered and 
fixed. 
4) Third-party software and hardware products that aren't 
yet XP-compatible may be compatible with Windows 2000; 
check the manufacturers of your devices and applications 
for XP support before you upgrade. 

Windows XP benefits :


1) Windows XP is somewhat faster than Windows 2000, 
assuming you have a fast processor and tons of memory 
(although it will run fine with a 300Mhz Pentium II and 
128MB of RAM). 
2) The new Windows XP interface is more cheerful and 
colorful than earlier versions, although the less-
cartoony "Classic" interface can still be used if desired. 
3 Windows XP has more bells and whistles, such as the 
Windows Movie Maker, built-in CD writer support, the 
Internet Connection Firewall, and Remote Desktop 
Connection. 
4) Windows XP has better support for games and comes with 
more games than Windows 2000. 
5) Manufacturers of existing hardware and software products 
are more likely to add Windows XP compatibility now than 
Windows 2000 compatibility.