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I havent tried myself but my friends have tried it and they have used Daemon Tools to install it!!!..
Just do little googling about how to use Daemon Tools…
Well im not taking any reisk until i burn it on a DVD. It may b done if I boot my PC from Windows 98 CD, run Daemon tools ( if it is possible ) and install Windows from there. I don’t see any other way to install windows using a virtual DVD drive
I installed Windows 7 on my machine as a VM using Virtual PC. It took around 10GB of the space inside VM. But the VM’s size is around 5GB, still figuring out where Windows 7 got the extra 5GB from
Will test the machine tonite.