As soon as they finished SP2, they started on SP3, BUT that doesnt mean it will come out. Like SP4 for Win2000, they didnt want to release a SP for that, so they released an rollup package, which is basically a small collection of updates. I doubt that they will release an SP3 for WinXP because they want everyone to go over to Windows eXPerience (rumoured to be called that) because its more secure and easier to use. They will only release more updates for Win2003 because its a server edition, XP is not, so I doubt it. Also, i heard they are getting rid of the sidebar. It takes up too much room and not many people like it. I think they may be adding 'virtual desktop' which allows you to open more then one desktop screen.