[Echo Talon]

here is a step by step proceedure on how to slpistream WinXP SP2

HERE

its nice beacuse right after the install of the OS SP2 is installed(it turns your windows XP SP1 CD into a SP2 CD), you could always just install SP1 then install the SP2(just burn it to disk or something for safe keeping)

[Spktyr]

SP2 supercedes SP1; there is no need to install SP1 before installing SP2. That's why SP2 is close to 300mb.