Originally posted by: Navid
The main limitation of XP OEM is that as soon as you install it on a PC, it is married to that PC. Even if the PC dies, you will not be able to install it on another PC and you cannot sell it. Of course this is the legal part of it.
Now many are going to come here and say that they installed it on more than one machine and there was no problem.
As I said, that is the limitation if you want to follow the End User License Agreement, which you should agree with before you can use the OS.
http://www.microsoft.com/piracy/partners/YourPC_do.mspx
From this link:
An OEM software license may not be transferred from and old machine to a new machine?even if that machine is no longer in use. The OEM license is tied to the machine on which it was originally installed and can't be transferred to other machines.