You boot from the CD and do a clean install.
Click on or copy and paste the link below into your web browser address bar.
How to clean install XP. http://michaelstevenstech.com/cleanxpinstall.html
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You don't need to install Win9x first. At some point in the install
process, the upgrade version will ask for proof of a qualifying
product. At that point you can stick your Win9x CD in the drive, and
the XP install process will proceed.
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