The latest developments in XPLite now see clean installations of Windows XP in under 350MB and Windows 2000 approaching less than 200 MB (excluding paging file) with much smaller memory requirements! These sizes are obtained simply by running XPLite/2000Lite on a fresh install of windows. Enterprising developers should easily be able to strip out additional log files, INF files and unused drivers to reduce the footprint by another 50MB or so. If your goal is to run a dedicated task in as little storage as possible - then look no further than XPlite.
New in XPlite version 1.6 is the Shrink tab. Currently this provides a tool for locating and deleting unused uninstaller information for all the various Microsoft Windows updates and security fixes. Since the majority of people will not be uninstalling any of these updates to Windows it makes sense to shrink Windows down that little bit smaller by removing the uninstaller files.