You can but you cannot activate it unless
- It is a retail version, and
- You remove it from your first PC, and
- You ring Microsoft, explain that you have removed it
from the first PC and get a new activation key.
You will breach the EULA if you have two installations of the same XP on
two computers. If it's retail, you may move it to another computer if
you remove it from the first. If it's a generic OEM XP, you're not
supposed to move it but if it's been over 120 days since the last
activation on the first computer, it will activate on line on the
second. This is a breach of the EULA but it can be done and no one will
be the wiser. If it's an XP that came preinstalled on the computer, then
you can't move it to another computer because it will be tied to the
BIOS of the first computer.
No. The rule is quite clear. It's one copy (or one license) for each
computer.
There's nothing new here. This is exactly the same rule that's been in
effect on every version of Windows starting with Windows 3.1. The only
thing new with XP is that there's now an enforcement mechanism.
If yours is a retail version, not an OEM one, you can buy extra
licenses (see http://www.microsoft.com/windowsxp/pro/howtobuy/addlic.asp). But it's
not generally a good deal. The problem is that Microsoft sells
additional licenses at only a small savings over the list price.
You're almost certainly better off just buying a complete second copy
from a discount source.
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