Netbooks does not comes with CD/DVD drives. Operating systems comes in DVDs. To install/reinstall OS you need external DVD drive. Similar situations like this, install OS from USB drive is very helpful.For installation of Linux distros see 'Install linux distributions like ubuntu from USB drive' post. Now lets see simple steps to install Windows XP, 2003, Vista, 2008 and Windows 7 from USB drive.
You need to create a windows bootable USB drive and transfer installation file to USB.
Requirements :
USB Drive (atleast 4GB for windows 7, vista, 2008)
Windows XP or 2003 or Vista or 2008 or Windows 7 DVD / ISO image
Use WinToFlash Beta application to create windows installation USB. No complicated steps. Couple of clicks will create Windows XP, Windows Server 2003, Windows Vista, Windows Server 2008, Windows 7 Installation Flash Drive. Download WinToFlash . Its Zip package. Extract that and open WinToFlash.exe .

Click on 'Windows setup transfer wizard'. In the next window choose Windows installation files path and USB drive. If you have Windows installation DVD, Insert that in to DVD drive and select the DVD drive letter in 'Windows files path' field.
If you have ISO image of Windows, use MagicDisc freeware to create vitrual CD/DVD drives. And mount windows ISO image to a virtual CD/DVD drive and select that drive letter in 'Windows files path' field. OR extract the ISO to a specific folder using 7-zip. Select that folder in 'Windows files path' field.
Plug the USB drive, and select USB drive letter in 'USB drive' field.

Then click next. WinToFlash format USB drive, Copy the installation files and make the USB drive bootable. It will take few minutes depends on your system speed.

Now Windows Installation USB flash drive is ready. Reboot your PC and press Del(F2 in Some PCs) key to enter BIOS setup. Set 1st Boot Device as USB Pen Drive. Press F10 to save settings and reboot. It should boot from the USB dirve now.

Thats all! Install Windows from USB Flash Drive.
I have installed it and made a "USB Boot-able Disk" by using this utility. But when I tried to boot WINDOWS XP setup from USB, it didn't work.
January 21, 2010 11:34 PMPC just got stuck at USB Drive letter...
How much time It will take to boot from USB?
Can you please tell me and solve my this problem.
Thanks & Regards
Shahzad Ali
chshahzadali@gmail