Vista has the ability to change it's DPI settings to match the resolution of the device your using.
Sometimes the terms get mixed up.. DPI (dots per inch) or PPI (pixels per inch) essentially are the same thing in this context.
Previous versions of Windows were locked in at 96 DPI. This worked fine on traditional displays, but it looks foolish and ugly on the big resolutions displays we have now.
Using the DPI settings you can accurately set the system up so that one inch in on your computer screen accurately matches one inch in real life.. This is currently not possible with XP.
http://msdn2.microsoft.com/en-us/library/ms699473.aspx
http://blogs.msdn.com/kamvedbrat/archiv...2/02/dpi-scaling-in-windows-vista.aspx
To find your monitor's true DPI you take the horizontal size of your display (the part were the pixels actually light up and such) and use that to divide the resolution. So if your screen is 13 inches accross with a horizontal resolution of 1900 that will give you a DPI of about 146, give or take. Then you do the same for the vertical.
If your a 'Gimp' user they have a calibration feature built into the application to help you measure the DPI accurately.
Linux and OS X have supported this for years, but this is just how these things go. Most legacy applications coming from XP will get all mucked up since the UI was designed and all the elements spaced to work fine at 96DPI.
The major feature to be dropped from Vista would be support for scalable vector graphics from the Avalon API. This would allow applications using it to scale from very small to very big with no loss of visual quality, but that isn't Win32 anymore. I beleive some of the scalable vector graphics has made it's way through for icons and such. I don't know the details.