A TPM is a chip on the motherboard of the computer. The TPM provides
cryptographic and security services to the operating system and
applications. It allows you to encrypt files (the "BitLocker" feature of
Vista), use Fingerprint scanners to log on, etc.
Only fairly recent computer hardware has a TPM chip. Check the documentation
for your computer. If Vista recognises the TPM chip on your computer it will
also appear in Device Manager.
Vista will work fine on a computer without a TPM. You might miss out on a
couple of the advanced security features (eg BitLocker).
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